The EU wants to encourage the emergence of other Helsing or Frankenburg Technologies on the old continent.
Yesterday the European Commission presented a new €115 million funding instrument, called Agile, to bring disruptive defense technologies from the laboratory to the field at record speed.
This pilot instrument is intended to accelerate the development and testing of disruptive innovations in the defense sector and their market deployment, such as artificial intelligence, quantum systems, or drones, focusing on supporting small and medium-sized enterprises (SMEs), including start-ups and scale-ups, states the note from the European executive.
The war in Ukraine has highlighted how success on the battlefield increasingly depends on rapid innovation cycles, capable of delivering new operational technologies quickly and at low cost. In this context of accelerated digital transformation, Agile is designed to support the players of the “new defense,” such as start-ups and high-speed tech innovators, explains the Brussels note.
“Armies need new technologies, fast deliveries, and highly competitive prices. For this reason, the transformation of the defense industry is a strategic priority for us,” emphasized the European Commissioner for Defense and Space, Andrius Kubilius.
“With Agile, we are breaking down the barriers that have kept our most creative tech companies out of defense. We want to create a culture of rapid action, ensuring that European SMEs and start-ups can promote European deterrence and security by providing innovative solutions,” declared Henna Virkkunen, Executive Vice-President for Technological Sovereignty, Security, and Democracy.
“If we manage to help these companies become the new European ‘Helsing’ or ‘Frankenburg Technologies,’ well-known European companies born as startups, it would be a great success for the Agile program,” Kubilius insisted.
All the details.
THE CONTEXT
On the one hand, the European Commission recalls how in recent years the EU has strengthened its commitment to research and development in the defense sector, particularly through the European Defence Fund (EDF), the EU program for innovation in defense (EUDIS) supporting startups and SMEs, and the defense innovation hub (HEDI), promoted by the European Defence Agency. At the same time, it recognizes the need to strengthen and integrate existing tools with more flexible and responsive mechanisms.
Recent initiatives, such as the “Preserving Peace – Readiness Roadmap 2030” and the White Paper on the future of European defense – “Readiness 2030,” highlight the urgency to accelerate innovation processes and the adoption of new technologies, underlines the European executive’s note.
HOW AGILE WORKS, NEW EU FUNDING INSTRUMENT
From this arises the idea of Agile to bring innovative technologies such as artificial intelligence and robotics from laboratories to armed forces in record time.
This EU program will provide faster and more flexible funding to individual companies and will enable innovations to be implemented as quickly as possible.
THE FUNDING
As Commissioner Kubilius explained, “Agile is a time-limited program with limited financial resources. In fact, for 2027 we will be able to use only €115 million for this program.” The resources come from current budgets of EDPI, EDF, and the Space Program until 2028.
FAST TIMELINES FOR BRUSSELS BUREAUCRACY
The Commission will award grants ranging from €1 to €5 million to European SMEs within 4 months. “This is an incredible speed for EU bureaucracy and decision-making processes,” notes Commissioner Kubilius.
Specifically, Agile will support between 20 and 30 projects, providing up to 100% funding for all eligible costs. A retroactive clause is also foreseen, allowing companies to request reimbursement of expenses incurred up to three months before the call for proposals closes.
THE ACTIVITIES INVOLVED
According to Brussels, the work program will cover two main types of activities: targeted development of disruptive products and technologies in the defense sector and market offering, helping defense solutions reach actual markets.
WHO IT IS FOR
The program will be open to individual entities from EU Member States, Norway, and Ukraine. The focus will principally be on actors of the “New Defense (SMEs, including startups and scaleups that fall under this definition, and also from the civilian sector).” Consortia will also be allowed.
THE STRATEGY
According to Defense and Space Commissioner Kubilius, “Today we must be ready to win the wars of tomorrow, not just fight those of yesterday. Between tomorrow and yesterday, we must be ready to fight the wars of today. Being able to adapt very quickly, to ramp up production immediately. In general, we must be smarter and faster than our adversaries.”
“That is why we need more innovative SMEs and startups, both from the defense and civilian sectors, to help us accelerate our operational readiness,” Kubilius insisted. It is therefore essential to test, validate, and rapidly integrate these technologies into our defense capabilities, ensuring that the European defense industry can keep pace with the rapidly evolving nature of modern warfare,” concluded the European Commissioner for Defense and Space.
NEXT STEPS
On the regulation, the word now passes to the European Parliament and the Council. Brussels expects the instrument to be operational starting from the early months of 2027 to ensure the rapid implementation of new technologies in European armed forces.
