The article says this: "A paper by Odersky states that the EU funding will mainly be provided for the definition of domain-specific languages (DSLs) in libraries." and refers to this blog post: http://www.scala-lang.org/node/8579
I do believe so as the technique that Scala seeks to utilize to tackle parallel programming "is to use "language virtualization", combining polymorphic embeddings with domain-specific optimizations in a staged compilation process.".
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This thread's article has:
"Over the next five years the group of developers working at Switzerland's EPFL (École polytechnique fédérale de Lausanne) will be receiving €2.3 million from the European Research Council."
The LMTU thread links to the blog post you mention above which contains:
"The Scala research group at EPFL is excited to announce that they have won a 5 year European Research Grant of over 2.3 million Euros to tackle the "Popular Parallel Programming" challenge. This means that the Scala team will nearly double in size to pursue a truly promising way for industry to harness the parallel processing power of the ever increasing number of cores available on each chip."
