Background

Rapid technological change and lessons from recent conflicts – especially Ukraine – have demonstrated the growing importance of quickly adapting and deploying emerging technologies. Existing EU defence instruments do not sufficiently address short innovation cycles or the gap between technological development and operational deployment, particularly for SMEs, start-ups and scale-ups.

European Commission proposal

On 25 March 2026, the Commission proposed the programme for agile and rapid defence innovation (AGILE), a €115 million EU pilot programme designed to accelerate disruptive defence innovation, particularly among SMEs, start-ups and scale-ups. It will support 20 to 30 projects in areas such as AI, quantum and drones, offering up to 100 % funding of eligible costs. AGILE targets a four-month time-to-grant, and deployment within one to three years, supporting both technology development and market uptake while aligning projects with Member States' capability needs.

European Parliament and Council positions

The Council approved its negotiating mandate on AGILE on 3 June, largely maintaining the Commission's proposal for the programme. AGILE aims to bridge the gap between development and deployment through rapid funding, including for adapting civilian technologies to defence applications. The Council retains a four-month time-to-grant, with technologies expected to reach armed forces within one to three years. Moreover, it strengthened Member State involvement through additional comitology procedures.

On 25 June 2026, Parliament's SEDE and ITRE committees adopted their joint report, with Parliament's negotiating mandate approved without a vote at the July session. Parliament emphasised scaling defence innovation, integrating new firms into European defence supply chains and increasing military uptake. AGILE should address capability gaps and reduce strategic dependencies, and its work programme should reflect EU capability priorities. An interim evaluation should be completed by July 2028, followed by a final evaluation.

Provisional agreement

On 15 July 2026, Council and Parliament reached provisional agreement on the AGILE programme, with the aim of making the programme operational within months and accelerating defence innovation across the EU. The agreement maintains a strong focus on SMEs, start-ups and scale-ups developing emerging and disruptive defence technologies, including the adaptation of civilian technologies for defence applications. It retains the four-month time-to-grant, introduces dedicated matchmaking with defence primes, and provides fast-track access to testing and experimentation facilities. AGILE is intended to bridge the gap between development and deployment, address Member States' capability needs, reduce strategic dependencies and strengthen the role of innovative SMEs in the European defence industrial base.