The European Commission is to invest EUR 1.07 billion in 57 new EDF projects covering the European Drone Defence Initiative, the Eastern Flank Watch, the European Air Shield and the European Space Shield.
The 57 projects selected under the 2025 EDF cover a wide range of critical sectors, including artificial intelligence (AI), cyber defence, drones and counter-drone systems. These investments are designed to ensure the EU remains a leader in advanced defence technology.
More than 15 projects will support the four European Readiness Flagships. For example, project AETHER will develop propulsion and thermal management systems to support the Drone Defence Initiative. All flagship initiatives will also benefit from cross-cutting projects focused on sensors, digital transformation or cyber technologies.
The EU is also set to deepen cooperation with the Ukrainian defence industry, supported by the EU Defence Innovation Office in Kyiv. This partnership aims to better integrate Ukraine into the European industrial base. One key initiative, Project STRATUS, will develop an AI-powered cyber defence system for drone swarms. It includes a Ukrainian subcontractor, ensuring the project benefits from direct battlefield experience.
To attract new talent, several projects focused on mass-producing affordable drone munitions will launch ‘sub-calls’ for start-ups and small and medium-sized enterprises (SMEs). These smaller companies can receive up to €60,000 each to integrate new innovations, helping those without previous defence experience enter the market. Ukrainian entities can also apply. The selected projects involve 634 entities from 26 EU Member States and Norway, reflecting a strong commitment to European defence cooperation. SMEs are central to this round, making up over 38% of participants and receiving more than 21% of the total funding.
In the calls, €675 million will support 32 capability development initiatives and €332 million will go to 25 research projects.
EDF results 2025 factsheet and projects factsheets
Factsheet 2025 European Defence Fund Work Programme and calls
