BRUSSELS / EuroWire / – The European Union has approved a €115 million initiative aimed at speeding up defense innovation across its member states. Known as AGILE, the programme will aid small and medium-sized enterprises, including start-ups and scale-ups, in developing cutting-edge defense technologies. The Council of the European Union officially approved the regulation on October 12, completing the final legislative steps, with a focus on emerging and disruptive innovations that can transition swiftly from development to practical military deployment.
Funding will support the creation and testing of innovative defense solutions, including civilian technologies adapted for military use. The initiative aims to award grants within four months of application submission, with EU officials anticipating that supported technologies will reach defense forces within one to three years. Grant amounts will range from €1 million to €5 million, providing smaller companies direct financial support for projects aligned with the programme’s objectives.
The European Commission projects that approximately 20 to 30 projects will be backed during the first phase of AGILE. Selected initiatives could receive funding covering up to 100% of eligible expenses, with companies able to claim qualifying costs incurred up to three months prior to the call deadline. The work plan will encompass mission-oriented product development and market delivery efforts, facilitating the transition of defense solutions into operational contexts and procurement channels.
Fast-track funding supports smaller defense firms
Participants in the AGILE programme will benefit from quicker access to testing and experimentation facilities across Europe, while the framework also fosters matchmaking between smaller innovators and larger defense manufacturers. Member states will contribute to defining programme challenges, ensuring funded projects address actual capability gaps. Simplified procurement procedures for supported products are included, providing an additional pathway for successful projects to integrate into defense supply chains and operational deployment across participating European markets.
The initial call for proposals is planned for early 2027, coinciding with the programme’s operational start. Eligible applicants include companies from EU member states and associated nations, with Ukraine and countries within the European Economic Area and European Free Trade Association also able to participate. Both individual companies and consortiums can apply, with the latter eligible for funding under the programme’s framework.
Implementation expected in early 2027
The European Parliament approved the finalized text during a plenary vote on October 6, following a political agreement reached in July. First introduced by EU officials in March 2026 as a dedicated tool for accelerating defense technology development, AGILE’s formal approval now marks the completion of remaining legal steps before it can be put into effect. The regulation must be signed by the Presidents of the Parliament and the Council before publication in the EU Official Journal, after which it will enter into force 20 days later.
AGILE will supplement existing EU programmes supporting defense research, industrial advancement, and technology adoption. Its €115 million budget, within the current EU financial framework, emphasizes assistance to smaller and newer defense suppliers. The funding approach combines rapid grant decisions, testing facilities access, and pathways into procurement for selected projects. Ultimately, AGILE strives to shorten the journey from innovative technology to operational testing and deployment for European defense customers across the participating nations.