Technology Industries of Finland's AI investment

Breakdown of Technology Industries of Finland’s EUR 10 million investment in AI:

• EUR 3.8 million for the recruitment of international top experts in AI for joint applied research between companies and universities, and AI education
• EUR 2.8 million as seed funding for the AI development projects of the member companies of Technology Industries of Finland
• EUR 2.4 million in grants for master’s theses (thesis, dissertation, thesis for a university of applied sciences) associated with AI development projects of the member companies of Technology Industries of Finland
• EUR 1 million for launching a business-driven AI network.

Seed Funding for Member Companies’ AI projects 

Technology Industries of Finland (TIF) has decided to provide a total of EUR 2.8 million in seed funding grants for AI-related development and deployment projects of TIF’s member companies and their consortia. 

The funding received by one company does not exceed 15% of the acceptable costs incurred by the company for the project, but no more than EUR 50,000 per project. 

The purpose of seed funding is to accelerate the development and adoption of AI solutions in companies in technology industry sectors, encourage companies to invest in AI, and thus strengthen the prerequisites for long-term sustainable growth of the Finnish economy. 

TIF grants seed funding for three years from the start or as long as the funds reserved for this purpose are sufficient. 

Before applying, please read through the terms and application instructions of funding below. 

• Application form 
• Payment request 
• Inquiries: AI@teknologiateollisuus.fi  

Terms and conditions of seed funding 

Who can apply and for what purpose? 

• Seed funding can be applied for by a member company of Technology Industries of Finland that is launching a development or implementation project related to AI either alone or as part of a consortium consisting of companies or other organisations, such as higher education institutions. 
• A development or deployment project means that a company develops or deploys an AI system as part of its processes, products, or services.  
• Seed funding covers up to 15% of the acceptable costs of the company's project and does not exceed EUR 50,000. Funding is a gratuitous grant. 
• A member company can only receive seed funding once. In a business concern, seed funding can only be granted to one member company. 
• A positive funding decision is valid for three years after it has been brought to the attention of the applicant company. The project must be completed within this timeframe. In exceptional cases, the company may apply for an extension. 
• The company must also be a member of TIF at the time of payment. 
• Funding is not granted for: 
  • Preliminary studies or surveys alone. 
  • Implementation of commonly available AI tools (e.g., ChatGPT, Microsoft Copilot, Google Gemini) without the tools being significantly modified and further developed for the company's needs. 
  • Projects that are already underway. 
  • A company that is only a member of TIF’s branch association. 
  • A company that sells, develops, or deploys an AI system as part of another company's processes, products or services is not eligible for funding. 
  • For projects that are interpreted as unethical or belong to the category of use cases prohibited by the EU's AI Act.

How to apply for funding?  

• To apply for funding, fill in this online form and add all the necessary attachments.  

What must the application contain? 

• The amount of seed funding applied for by the company, which may not exceed 15 % of the acceptable costs incurred by the company for the project, up to a maximum of EUR 50 000 
  • For acceptable costs, see the next question  
• A plan for the development or deployment project of the company or group, including at least:  
  • Description of project objectives, performance indicators and timetable  
  • Description of the AI system concerned 
  • Description of the project's positive effects on the Finnish technology industries and society 
  • Description of possible research, development, and other cooperation in the project 
  • Company contacts 
• Project budget including description of acceptable costs  

What costs are acceptable? 

 

• Acceptable costs are the costs of the development and implementation project, which are: 
  • incurred during the span of the project (accrual basis)  
  • paid and accounted for by the beneficiary  
  • net and exclusive of VAT. 
• The costs shall be based on the transaction entries of the corresponding expenditure. This does not apply to costs allocated to the project on an accounting basis. 
• The funder may accept as overheads a percentage of the sum of the project's salary and social security costs in accordance with the project's cost estimate. Overhead costs are not recognised for other cost categories, such as: 
  • Management and administrative salaries 
  • Administrative costs, such as financial services and general legal advice 
  • IT, telephone, office and office premises costs and related depreciation 
  • Annual fees for industrial property rights. 
• The market-based costs of contractual research, knowledge and patents purchased or licensed from outside, as well as the costs of consultancy and similar services used exclusively for the project, may be accepted in accordance with the project plan and invoicing. 
• The funder may accept as a direct cost of the project the acquisition cost of the equipment or software purchased for the project when it is mainly used by the project and when the acquisition cost of the device or software can be recognised as an expense for the accounting period according to the Accounting Act. If the equipment or software is used for activities other than the project, the cost may be accepted to the extent that it is used in the project. 
• If the cost of equipment or software is activated and depreciated over its lifetime as planned, depreciation over the life of the project is accepted. The costs of depreciation or leasing of hardware or software used mainly for the project may be accepted to the extent that the hardware or software is used in the project. SaaS/cloud purchases are accounted for as equipment rental.  
• Materials and supplies purchased from outside can be accepted according to invoicing. 
• Travel costs reported to the project must be in accordance with the project plan. 

What are the criteria against which applications are evaluated? 

 

• The potential of the project to successfully develop or deploy an AI system and related capabilities and know-how as part of the company's processes, products or services 
• The potential of the project to have a positive impact on the company's business and competitiveness 
• Research, development or other cooperation carried out in the project 
• External funding received for the project 
• Financial and other resources invested in the project by the company or group 
• Usability of project results in the Finnish technology industries and society 

Are the company's applications treated confidentially? 

• Yes, the persons processing applications at Technology Industries of Finland are committed to keeping the information contained in the application secret.  

When and to whom will the funding be paid? 

 

• The funding is paid to the company in one instalment after an payment request has been submitted and approved. 
• The company submits a payment request by filling in this online form once the project has been completed. 
• The final report, including financial statement, of the project must be submitted together with the payment request. 
  • The report must contain a summary that can be published for open use. 
  • The full report will only be published if the company gives permission for this. 
• If the implementation of the project deviates significantly from the project plan, the funding may be withheld in whole or in part.    
• The company must also be a member of TIF at the time of payment. 

What happens if the project does not take place or changes significantly? 

 

• If the project is not carried out or changes in a significant way, the company must notify this without delay. 
• In the event of a significant change in the project, the company must submit an updated project plan in connection with the notification. 

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