BRUSSELS / EuroWire / – European Union has launched a €115 million initiative aimed at boosting defence innovation throughout the bloc. The program, called AGILE, is designed to support small and medium-sized enterprises, including startups and scale-ups. The Council of the European Union officially approved the regulation on October 12 after completing legislative procedures. The focus is on emerging and disruptive technologies that can transition quickly from development to practical defence deployment.
Funding will cover the development and testing of innovative defence solutions, including civilian technologies adapted for military use. The program aims to award grants within four months of application submission. EU officials anticipate that supported technologies could be delivered to defence forces within one to three years. Grant amounts will range from €1 million to €5 million, providing smaller firms direct funding opportunities for qualifying projects.
European Commission predicts AGILE will fund approximately 20 to 30 projects during its initial phase. Selected initiatives may receive funding covering up to 100% of eligible costs. Companies can also claim expenses incurred up to three months prior to the call’s closing date. The work program will support mission-driven product development and market entry activities that help bring defence solutions to operational users and procurement channels.
Faster grants aim to assist smaller defence companies
Companies supported by AGILE will gain quicker access to testing and experimentation facilities across Europe. The framework also facilitates connections between smaller innovators and major defence manufacturers. Member states will help identify challenges that the program should address. This ensures the funded work aligns with capability needs. The rules include simplified procurement procedures for supported products. This creates a pathway for successful projects to move from testing to defence supply chains and operational deployment across European markets.
The first call for proposals is expected early in 2027, when the program becomes operational. Eligible participants include companies from EU member states and associated countries. Ukraine, as well as nations in the European Economic Area and European Free Trade Association, can also participate. Both individual companies and consortia can apply, with provisions for collaborative projects under the funding framework.
Program launch scheduled for early 2027
The European Parliament approved the regulation in a plenary vote on October 6, following a political agreement reached in July. The European Commission first announced AGILE in March 2026 as a dedicated tool for accelerating defence technology development. Now, formal adoption clears the last legal steps before it can be implemented. The Presidents of the Parliament and Council must sign the regulation before it is published in the EU Official Journal. The regulation will then enter into force 20 days after publication.
AGILE will complement existing EU initiatives supporting defence research, industrial growth, and technology adoption. Its €115 million budget fits within the current EU financial framework. The program emphasizes supporting smaller and newer defence suppliers. The funding approach combines rapid grant decisions, testing access, and pathways into procurement for chosen projects. The goal is to reduce the time from technology development to operational use by European defence agencies across participating nations.