Chip firm Tenstorrent to open Cyprus office in 2026 under AI partnership deal

Strategic move aims to transform Cyprus into AI innovation leader

The Research and Innovation Foundation (RIF) on Friday announced the signing of a strategic memorandum of understanding (MoU) with Tenstorrent, a firm specialising in AI hardware and open computing solutions.

“This MoU will significantly strengthen Cyprus’ position in the fields of AI, high-performance computing, and digital sovereignty,” the RIF said in its announcemnet.

The signing ceremony took place at the Presidential Palace on Friday, following a high-profile meeting between President Nicos Christodoulides and Jim Keller, Chief Executive Officer (CEO) of Tenstorrent.

The MoU was signed by Chief Scientist and RIF board chairperson Demetris Skourides, and Tenstorrent CEO Jim Keller.

The deal establishes a strategic partnership that will enhance the nation’s capacity in four key areas.

These areas include advancing AI and semiconductor design capabilities, which will enable Cyprus to participate in Europe’s growing open hardware and RISC-V ecosystem.

It will also focus on building sovereign compute infrastructure to support digital independence and compliance with the EU AI Act.

A third aim is promoting academic collaboration and workforce development to nurture new talent in AI, microelectronics, and high-performance computing.

What is more, the MoU will expand public–private cooperation to accelerate innovation and commercialisation across sectors such as energy, health, maritime, and defence.

Tenstorrent, an AI chip and systems innovator that delivers open-source, cost-effective alternatives to major GPU providers, is set to open an office in Cyprus in 2026.

The foundation explained that this collaboration “reinforces Cyprus’ strategic goal to become a regional leader in AI innovation, digital sovereignty, and sustainable technology development, while aligning with European initiatives such as the EuroHPC and Chips Joint Undertakings”.

“When we met at the Tenstorrent HQ in Santa Clara during the visit of President Christodoulides to the US last April, we spoke about two things: ambition and opportunity,” said Deputy Minister of Research, Innovation and Digital Policy Nicodemos Damianou.

“The ambition of Tenstorrent to build the next generation of open-source, highly efficient semiconductors to power our AI future; our ambition to build the “next generation” of a technology and innovation hub, not only regionally but globally, building on our country’s many advantages and strengths,” he continued. “And the opportunity to develop sovereign AI capabilities in Cyprus through collaboration and a joined co-innovation platform.”

“The memorandum of understanding being signed today stands as testament to our commitment to that very opportunity,” Damianou added. “I thank Tenstorrent for its trust and decision to invest with us in this shared vision.”

Chief Scientist Demetris Skourides stated that “this collaboration with Tenstorrent represents a defining step in Cyprus’ technological journey and is a result of tech innovation diplomacy.”

“It reflects our shared commitment to openness, excellence, and innovation that serves society,” he added.

Skourides also mentioned that “Tenstorrent’s arrival sends a message that Cyprus’ growing AI innovation ecosystem is now composed of a cutting-edge AI chiplet company with world class capabilities, and with AI, researchers, and more than 100 AI startups, technology companies and customers adopting AI as a strategic advantage”.

“Although this is the beginning of the journey, together, we are strengthening our national capacity in AI and semiconductor design, developing our ability to design and develop sovereign ai solutions; transforming Cyprus into a trusted node in Europe’s technology landscape,” he added.

The Chief Scientist further stated that “Tenstorrent’s arrival completes a major part of the capabilities required to create a competitive AI innovation ecosystem, enabling stakeholders to design and develop everything AI including sovereign AI platforms and autonomous solutions”.

He described the development as “a game-changer that creates synergies with the world’s most advanced organisation that is entrusting Cyprus’ talent and R&D capabilities.”

On his part, CEO Jim Keller said that “we are excited to collaborate with Cyprus, a country that shares our belief in open computing, innovation, and technological independence.”

In addition, he said that “this partnership opens the door to new opportunities for research, education, and the co-development of advanced AI and compute technologies that will benefit not just Cyprus, but the broader region and Europe.”

Meanwhile, chairman of Invest Cyprus Evgenios Evgeniou said that “Tenstorrent is the first AI Chip company establishing a presence in Cyprus since President Nicos Christodoulides’ visit in Silicon Valley last April, and the third company from the United States that is entrusting Cyprus as a base for AI in Europe”.

“Having an AI hardware player in Cyprus strengthens Cyprus’ role as a tech hub and acts as talent attraction creating a brain gain effect,” Evgeniou added.

The signing ceremony culminated an extensive series of high-level engagements between Cyprus and Tenstorrent, which began with President Christodoulides’ official visit to the United States last April.

“The strategic MoU supports and enhances the implementation of the president’s ‘Vision 2035‘ for the Republic of Cyprus, the National AI Strategy, and the Minds in Cyprus initiative, which together aim to transform national research excellence into innovation-driven growth and global impact,” the RIF stated.

“Tenstorrent stands apart through its open-source hardware design based on RISC-V architecture, positioning it among the world’s most innovative AI and semiconductor companies,” the foundation added.

“Its technology enables democratised access to high-performance computing, making it a natural partner in Cyprus’ vision for AI sovereignty, digital independence, and sustainable technological growth,” the announcement continued.

“Jim Keller is a world-renowned microprocessor engineer known for his pivotal roles in designing chips at Apple, AMD, and Tesla,” the RIF concluded.