On 25 March, the European Commission unveiled a new funding initiative, AGILE, with a budget of €115 million. This programme is designed to facilitate the prompt transition of disruptive defence technologies from research and development into practical applications. AGILE aims to accelerate the development and testing of innovative solutions across artificial intelligence, quantum technology, and unmanned aerial vehicles, with a particular focus on supporting small and medium-sized enterprises (SMEs), including startups and scale-ups.
The ongoing conflict in Ukraine has underscored the necessity for rapid innovation cycles in modern warfare. The capacity to develop, test, and deploy new technologies and cost-efficient solutions within weeks or months—rather than years—is increasingly essential. In response to this urgent need, AGILE is tailored for the new defence ecosystem, targeting startups and technology innovators who operate with agility.
“With AGILE, we are breaking down the barriers that have kept our most creative tech companies out of defence. We want to create a culture of rapid doing, making sure that Europe’s SME’s and startups can foster European deterrence and safety by delivering innovative solutions,“ said Henna Virkkunen, Executive Vice-President for Tech Sovereignty, Security and Democracy.
To support these organisations, AGILE will provide expedited and flexible funding options for individual companies, enabling the swift deployment of technological innovations. The programme aims for an ambitious time-to-grant of just 4 months, with the intention that technologies be operational within 1 to 3 years. AGILE is expected to support 20-30 projects, offering up to 100% funding for all eligible costs. Additionally, a retroactive clause will allow companies to claim expenses incurred up to 3 months before the application deadline, thereby fostering rapid innovation.
“These changes are reshaping battlefield dynamics, where the added value of small players is clear. They can bring innovation, flexibility, and cost-efficient solutions, along with new operational ideas. It is therefore key that we rapidly test, validate, and integrate these technologies into our defence capabilities, ensuring that Europe’s defence industry can keep pace with the rapidly changing nature of modern warfare,” added Andrius Kubilius, Commissioner for Defence and Space.
The work programme will encompass two primary activities: the mission-driven development of disruptive defence products and technologies, and the market delivery of solutions to ensure they effectively reach the intended markets. AGILE will be aligned with the pressing needs of EU Member States, ensuring that European defence capabilities are not only innovative but also promptly responsive to threats.
The Commission will present a proposal for a new Regulation to the European Parliament and the Council, establishing AGILE as a formal initiative subject to the ordinary legislative procedure. It is anticipated that this funding instrument will become operational in early 2027, thereby enabling the swift deployment of new technologies to European armed forces.
