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Digitalisation and innovation 3 min read

EUR 100 million in EU funding for drone and counter-drone companies

The European Union has recently launched the EIC STEP Defence Scale Up programme, an important initiative dedicated to supporting innovative companies active in the defence technology sector, in particular…

Todos & Company editorial team · EU funding consultancy since 2006

EUR 100 million in EU funding for drone and counter-drone companies

EIC STEP Defence Scale Up: a new funding line for counter-drone defence technologies

The European Union has recently launched the EIC STEP Defence Scale Up programme, an important initiative dedicated to supporting innovative companies active in the defence technology sector, in particular those specialising in drones and counter-drone solutions. The allocated budget stands at EUR 100 million and represents a significant opportunity for European firms that want to scale emerging technologies with a strategic impact on continental security. The programme is backed by the European Innovation Council (EIC) and forms part of a broader set of European Commission actions aimed at strengthening the technological base in the field of defence, which is crucial for the EU's strategic autonomy.

Market context and the relevance of developing counter-drone solutions

Drone-based technologies have developed explosively in recent years and are widely used in both the civil and military sectors. As these devices become more and more accessible, the risks associated with their use grow, including for the security of critical infrastructure, controlled airspace and military operations. Counter-drone systems (counter-UAS) are designed to detect, identify and neutralise unauthorised drone threats. Demand for such technologies is rising rapidly, and the European Union aims to support companies that offer innovative solutions capable of responding to both military and civil challenges.

Who can apply and what types of funding are available

The EIC STEP Defence Scale Up programme is open to companies of any size, from start-ups to small and medium-sized enterprises (SMEs), with a focus on those that have developed demonstrable technologies and are ready to expand on the market. Priority will go to projects with the potential for rapid scaling and a clear impact on the defence and security ecosystem.

The funding offered under this programme mainly takes the form of grants and equity investments, intended to support the following stages:

  • Developing and testing prototypes;
  • Increasing production capacity;
  • Accessing foreign markets and integrating into European or global value chains;
  • Strengthening the team with specialists in advanced technologies and product management.

Eligibility conditions and required documentation

Interested companies must submit a series of documents demonstrating their technical, financial and organisational capacity to implement the proposed projects. These include detailed business plans, technical demonstrations showing progress in developing counter-drone technology, and pilot projects/tests carried out. A clear expansion and sustainability strategy for the medium and long term will also be required.

Applicants must demonstrate alignment with EU objectives in the field of security and technological development, as well as compliance with defence regulations. Previous market experience and strategic partnerships can be an important advantage in the selection process.

What companies should prepare and what to watch out for

Meeting high quality standards and the specific requirements is a key element in entering this competition. Companies must invest time in drawing up a coherent proposal, with an emphasis on the technological benefits for European security, the market potential and the socio-economic impact. It is recommended that they consult EU funding experts and analyse the eligibility criteria carefully, to avoid rejection on formal grounds or for insufficient justification.

Another recommendation is to secure technical and legal support throughout the entire process, given the complexity specific to defence funds, especially in view of the security and confidentiality restrictions. Maintaining a good relationship with EIC representatives and taking part in the information sessions organised can increase your chances of success.

Finally, EIC STEP Defence Scale Up is a valuable opening for Romanian companies working in the defence technology industry, offering not only significant financial resources but also a platform for visibility and integration into the European ecosystem. Careful preparation and a clear strategy are the main tools entrepreneurs can use to make the most of this opportunity.

Want to find out what non-refundable funding you can access?

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