BRUSSELS / EuroWire / – As part of its broader efforts to advance military technology, the European Union has introduced a €115 million initiative designed to boost innovation within its defense sector. The initiative, named AGILE, aims to foster development among small and medium-sized enterprises, including start-ups and scale-ups. The Council of the European Union formally approved the regulation on October 12, completing the legislative process. This programme is focused on supporting emerging and disruptive technologies to accelerate their transition from research and development into practical defence applications.
AGILE is set to finance the creation and testing of cutting-edge defence technologies, including civilian innovations adapted for military use. The scheme aims to award grants within four months of application submission. EU officials anticipate that the technologies supported through AGILE will reach operational defence units within one to three years. Funding allocations will range from €1 million to €5 million, providing smaller firms with direct financial support for projects aligned with the programme’s objectives.
European Commission officials expect the first phase of AGILE to back approximately 20 to 30 projects. Selected initiatives may receive funding covering up to 100% of eligible expenses. Companies will also be able to claim qualifying costs incurred up to three months prior to the closing date of a call. The work programme will encompass mission-driven product development and activities aimed at bringing innovations to market, helping defence solutions reach operational users and integrate into procurement pipelines.
Fast-track funding targets smaller defence enterprises
Participants supported by AGILE will gain quicker access to testing and experimentation facilities across Europe. The framework facilitates matchmaking opportunities between smaller innovators and leading defence manufacturers. Member states will contribute to defining programme challenges, ensuring funded projects address specific capability needs. Additionally, the rules include simplified procurement procedures for supported products, creating a streamlined pathway for successful projects to transition from testing phases into defence supply chains and operational deployment across participating European markets.
The first call for proposals is expected to be launched at the start of 2027, coinciding with the programme’s operational launch. Eligibility is open to companies from EU member states and associated countries, including Ukraine, as well as nations within the European Economic Area and the European Free Trade Association. Both individual companies and consortia can apply, with the funding framework supporting collaborative projects involving multiple participants.
Program Launch Set for Early 2027
Following approval from the European Parliament in a plenary vote on October 6, after a political consensus reached in July, the AGILE initiative is on track to become operational early next year. The European Commission first introduced AGILE in March 2026 as a dedicated mechanism to speed up defence technology development. Now, with formal adoption completed, the remaining legal procedures must be finalized before the programme’s implementation. The regulation must be signed by the presidents of Parliament and the Council, then published in the EU Official Journal, after which it will enter into force 20 days later.
AGILE is designed to complement existing European initiatives that promote defence research, industrial growth, and technological adoption. Its €115 million budget is included within the current EU financial framework, with a strong emphasis on supporting smaller and newer defence suppliers. The funding approach integrates rapid grant allocation, testing access, and pathways into procurement procedures for selected projects. The goal of AGILE is to reduce the time from technological innovation to operational deployment, ensuring European defence customers can more quickly benefit from emerging technologies across participating countries.