This draft European Defence Fund (EDF) 2026 Lump Sum Development Action topic is dedicated to non-thematic development actions driven by small and medium-sized enterprises (SMEs). The call is designed to strengthen the role of innovative SMEs in transforming technology and research results into concrete defence products in a fast and cost-efficient manner. In particular, it encourages SMEs to exploit their agility and innovation capacity to deliver solutions that respond to emerging defence needs, including by adapting technologies originally developed for civil applications or by addressing challenges linked to hybrid warfare.

The call contributes directly to the Strategic Technologies for Europe Platform (STEP) objectives, as defined in the STEP Regulation, and is open to all STEP target investment areas. Unlike thematic EDF topics, this call is intentionally broad and flexible, allowing SMEs to propose bottom-up development actions that address concrete defence capability needs without being constrained to a predefined technology theme. The underlying policy objective is to improve Europe’s defence innovation ecosystem, accelerate the uptake of SME-driven innovation, and reduce barriers for SMEs entering defence markets and supply chains.

Within scope are innovative defence products, solutions and technologies that can improve readiness, deployability, reliability, safety and sustainability of forces in defence tasks and missions. Illustrative application areas include (but are not limited to) military operations, equipment, infrastructure, energy solutions, surveillance systems and digital solutions. Proposals must address at least one STEP target investment area and must reach at least Technology Readiness Level (TRL) 4. To best complement existing research and development activities—particularly those already targeting civil applications—the call explicitly welcomes add-on development actions that adapt solutions previously developed for civilian use but not yet applied in the defence sector. This spin-in approach is intended to maximise efficiency, reuse existing knowledge, and shorten time-to-market for defence applications.

Eligible activities under this topic include studies, design, system prototyping, testing, qualification, certification, and development of technologies or assets that increase efficiency across the life cycle of defence products and technologies. Activities aimed purely at generating new knowledge are not eligible. Each proposal must address at least one of the following activities: design, system prototyping, testing, qualification, certification, or increasing efficiency across the life cycle. Proposals must clearly describe a work breakdown structure and explicitly link the proposed tasks to the eligible EDF activities. In addition, proposals should define clear and measurable criteria to assess the completion of work packages and progress toward the targeted functionalities.

From a functional perspective, the call is open to any defence-relevant technology development within STEP target investment areas. Applicants are expected to clearly describe the targeted functionalities of their solution and the foreseen means to measure progress toward achieving these functionalities. This ensures that development actions remain outcome-oriented and aligned with concrete defence capability needs.

Multiple proposals may be funded under this topic, reflecting the intention to support a diverse portfolio of SME-driven innovations. The EU financial contribution per proposal is capped at EUR 6 000 000, enabling SMEs to undertake meaningful development actions while maintaining a strong focus on efficiency and market relevance.

Expected impacts include the development of innovative and cost-effective defence solutions, the creation of ground-breaking or novel concepts and technological approaches, and the application of technologies not previously used in the defence sector. The call aims to strengthen innovation capacity across Europe by empowering SMEs, create future market opportunities for SMEs by facilitating their access to defence markets and supply chains, and reinforce European defence research and technology ecosystems. Ultimately, it supports the strengthening of EU Member States’ and EDF associated countries’ defence supply chains and contributes to Europe’s technological and industrial sovereignty.

Opening: 22.01.2026
Deadline(s): 29.09.2026