From AI to quantum: How the European defence fund is shaping the future of EU defence technology

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Artificial intelligence, quantum technologies, advanced digital systems and new sensing capabilities are redefining how armed forces plan, decide and operate

To keep up to date with these transformations and strengthen its strategic autonomy, the European Union is investing heavily in the technologies that will define the future security landscape.

A huge part of this is the European Defence Fund (EDF), an EU instrument designed to support collaborative defence research and development across Member States. Through targeted investments and cross-border cooperation, the EDF is accelerating the development of critical technologies while reinforcing Europe’s industrial and technological base.

Building technological superiority

The importance of technological leadership is recognised in the White Paper for European Defence and the Defence Readiness Roadmap 2030.

Both documents highlight that technological superiority is important to Europe’s deterrence and defence posture. A strong, innovative and resilient defence industry rooted in the EU is seen as essential for security and also for long-term economic resilience.

To support this goal, the European Commission’s Directorate-General for Defence Industry and Space has introduced a series of defence technology fact sheets. These provide clear and accessible explanations of the most relevant defence technologies, showing how they are being developed through EDF-supported projects and how they contribute to Europe’s readiness.

Artificial intelligence and data dominance

Artificial intelligence is emerging as a cornerstone of modern military capability. EDF-funded projects apply AI to enhance information superiority, situational awareness and operational effectiveness. AI is also improving interoperability between systems and supporting the design and optimisation of defence equipment.

Closely linked to AI is the growing importance of data. Modern military operations depend on the ability to collect, process and share vast amounts of information across domains. Recognising this, the EDF has made information superiority a strategic priority, with more than 10% of its budget expected to support data-driven capabilities.

Quantum, cyber and digital resilience

Quantum technologies represent another major leap forward. With potential applications ranging from ultra-secure communications to enhanced sensing and faster decision-making, quantum solutions could transform cyber operations, targeting and information processing. The EDF is placing these technologies at the forefront of European defence innovation.

Cyber defence is also one of the important focus points. As cyberspace becomes a domain of strategic competition, EDF projects are strengthening secure military cloud solutions, developing cyber ranges for training, improving rapid-response tools, and protecting critical infrastructure from increasingly sophisticated threats.

New frontiers: Drones, biotechnology and electronic warfare

Unmanned systems are changing how the battlefield runs. Drones provide real-time intelligence, precision engagement and enhanced situational awareness, while counter-drone systems are essential for detecting and neutralising threats. Nearly €1 billion has been invested in these technologies through the EDF and its precursor programmes.

Biotechnology is another growing area of interest. Since 2021, the EDF has committed €191 million to biotechnology research and development, covering defence medical challenges, CBRN threats, human performance and innovative biotechnological applications.

Control of the electromagnetic spectrum is just as important. EDF initiatives in electronic warfare focus on next-generation capabilities, including the real-time processing of large volumes of data to support surveillance, navigation and command systems across all military domains.

Investing in Europe’s defence future

Since its launch, the EDF has invested more than €4 billion in defence research and development, with a total budget of nearly €7.3 billion for 2021–2027. Complementing this, the EU Defence Innovation Scheme supports startups, SMEs and emerging innovators by lowering barriers to entry and helping technologies mature.

Together, these initiatives are turning advanced research into concrete capabilities. From AI to quantum technologies, the EDF is playing a central role in ensuring that Europe remains prepared, resilient and competitive in an increasingly complex security environment.

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