The European Defense Fund’s (EDF) 2022 investment program has particular utility for countries with smaller defense budgets who are seeking to access cutting edge technology, but can assist larger nations who are looking to develop new technology in collaboration with other EU partners, says GlobalData, a leading data and analytics company.

The EDF aims to develop the capabilities of member states and enables joint capability projects. The 2022 investment program will provide $969 million worth of EU funding to develop new technologies, including semi-autonomous naval vessels as well as space-based early warning capabilities. The fund seeks to develop the European defense industry, whilst lowering the barriers of entry to allow a variety of partners as well as small and medium-sized enterprises (SMEs) to obtain defense contracts. This year’s funding has 33 different investment areas, with autonomous naval vessels specifically earmarked in order to advance collaborative surveillance capabilities.

William Davies, Associate Analyst at GlobalData comments: “The EDF has long sought to enable joint procurement by member states and this year’s categories are a diverse array which will encourage joint procurement between member states in a variety of topics. Joint funding for programs is an opportunity for many countries with lower defense spending to acquire high-value products at lower costs and provide former Soviet states with the ability to modernize and be less reliant on Russia.”

GlobalData’s report, ‘Internet of Military Things – Thematic Research’, reveals that autonomous systems are central to the future of warfare, with increased spending on autonomous capability being a major driver for defense spending in the coming years. The report also forecasts that the global market for Internet of Things (IoT) products including autonomous capabilities will grow to $807 billion by 2025.

Davies adds: “EDF’s policy seeks to increase joint procurement and facilitate the aligning of European countries defense acquisitions, which is an ongoing priority for the EU, and even more so since the beginning of the conflict in Ukraine.”