During the meetings of the theory and modelling working group, within the M
EL-ARI (Microelectronics Advanced Research Initiative) and NID-FET (Nanotec
hnology information Devices-Future and Emerging Technologies) initiatives o
f the European Commission, we have been discussing the current status and t
he future perspectives of nanoscale device modelling. The outcome of such a
discussion is summarized in the present paper, outlining the major challen
ges for the future, such as the integration of nonequilibrium phenomena and
of molecular scale properties. We believe that modelling has a growing imp
ortance in the development of nanoelectronic devices and must therefore mak
e a move from physics to engineering, providing valid design tools, with qu
antitative predictive capabilities.