We are proposing a Collaborative Project, NAMASTE, on nanostructured dilute magnetic semiconductor and metal materials. The key ideas are to control and manipulate the nanoscale properties of magnetic materials by local strain and electric fields making possible new types of magneto-electronic and spintronic devices. This is a co-ordinated programme of theoretical, experimental and technological research by a consortium of European academic and industrial research groups, each of which is internationally leading in the complementary, multidisciplinary research fields essential to the project delivery. The proposal builds on recent advances in the state-of-the-art by the consortium members and is based on the design of materials whose specific nanostructure yields the required tailored properties. NAMASTE should significantly advance the understanding of nanostructured magnetic materials and magnetic phenomena at the nanoscale. The project has a high probability of major medium and long term impact on many aspects of spintronics, magnetic data storage and processing, and magnetic sensors.