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Department of War Front Doors
DIU, AFWERX, SpaceWERX, Army xTech and the other ways in, and how each one worksPublished · By DefDex
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Short answer
How do startups work with DIU and other Department of War innovation offices?
To work with the Defense Innovation Unit (DIU), answer a Commercial Solutions Opening with a short solution brief; DIU invites promising companies to pitch and can award a prototype Other Transaction agreement in as few as 60 to 90 days. Other Department of War (DoW) innovation front doors include AFWERX, SpaceWERX, Army xTech, the Army Applications Laboratory and SOFWERX.
Key takeaways
- DIU's Commercial Solutions Openings start with a short solution brief, and its prototype Other Transaction agreements can be awarded in as few as 60 to 90 days.
- After a successful DIU prototype, any Department of War entity can award a follow-on production contract without new competition.
- NSIN no longer operates on its own: in October 2024 DIU folded it into an integrated commercial operations team.
- NavalX was absorbed into the Naval Rapid Capabilities Office under an August 2025 Navy Secretary memo, and industry submissions now go through its Vulcan intake pipeline.
- The Office of Strategic Capital offers direct loans of up to $150 million for U.S. projects in covered technology categories.
Which Department of War Front Door Fits Your Company?
| Program | Run by | Where |
|---|---|---|
 | U.S. Department of War | — |
 | U.S. Department of the Air Force | — |
 | U.S. Space Force | — |
 | Defense Innovation Unit (formerly) | — |
 | U.S. Army | Capital Factory, 701 Brazos St., Austin, Texas |
 | U.S. Department of the Navy | — |
 | DEFENSEWERX, under a partnership intermediary agreement with USSOCOM | Tampa, Florida |
 | U.S. Army (Army FUZE xTech Program, under ASA(ALT)) | — |
 | U.S. Department of War | — |
 | Department of War Office of Industrial Base Growth | Local offices across the United States |
Defense Innovation Unit (DIU)
U.S. Department of War
The Defense Innovation Unit (DIU) is a Department of War field activity that awards fast prototype contracts for commercial technology. Successful prototypes can move straight into follow-on production.
What you get
- Commercial Solutions Openings (CSOs): answer a posted problem with a short solution brief; DIU invites promising companies to pitch, then negotiates.
- Prototype Other Transaction (OT) agreements under 10 U.S.C. 4022, awarded in as few as 60 to 90 days, with milestone payments.
- After a successful prototype, any DoW entity can award a follow-on production contract without new competition, and DIU issues a Success Memo that other federal agencies can use.
- Other pathways include challenges, Commercial Acceleration Opportunities and the Bridge Program (for example CLASS ACT, for companies with cleared staff).
- Who it’s for
- Any company or individual with a commercial solution, including first-time government vendors and companies in allied countries; some solicitations require U.S. citizen key personnel.
- Defense angle
- Projects start from a DoW partner's operational need and must be solvable with commercial technology within 12 to 24 months.
- How to apply
- Solicitations open and close individually on the DIU open-solicitations page; DIU also takes company interest forms at any time.
Sources: DIU: Work With Us · DIU: Open Solicitations · DIU: About
AFWERX
U.S. Department of the Air Force
AFWERX is the Department of the Air Force's innovation arm. It manages the Air Force and Space Force SBIR/STTR programs and the follow-on funding that moves prototypes into service.
What you get
- SBIR (Small Business Innovation Research) and STTR (Small Business Technology Transfer) Phase I awards up to about $323,000 and Phase II awards up to $2.1 million.
- Follow-on funding: Tactical Funding Increase (TACFI) $375,000 to $2 million, Strategic Funding Increase (STRATFI) $3 million to $15 million, and Strategic Breakthrough awards up to $30 million, all with matching requirements.
- Industry connections through the AFWERX Portal and IGNITE, plus email alerts.
- Who it’s for
- U.S. small businesses with dual-use technology for SBIR/STTR; other companies can engage through the AFWERX Portal.
- Defense angle
- Funding is tied to Air Force and Space Force mission needs and to transition into operational use.
- How to apply
- SBIR/STTR topics follow the DoW monthly releases on DSIP; follow-on programs run separate notices.
Sources: AFWERX: home · AFWERX: Get Funded
SpaceWERX
U.S. Space Force
SpaceWERX is the U.S. Space Force's innovation arm. It uses SBIR and STTR funding to develop and transition space technologies from startups and small businesses.
What you get
- Space Force SBIR and STTR topics, including Direct to Phase II, in the DoW monthly releases (26.BX and 26.TX Release 6 are open now).
- Tactical Funding Increase (TACFI) for Space: the Program Year 26.2 notice takes proposals on a rolling basis.
- Prize challenges, such as the Adaptive and Intelligent Space Challenge run with Space Force headquarters.
- Who it’s for
- U.S. small businesses eligible for SBIR/STTR with technology relevant to Space Force missions.
- Defense angle
- Topics and challenges come from Space Force needs, such as on-orbit computing, sensing and orchestration.
- How to apply
- Monthly DoW topic releases through DSIP; TACFI is rolling.
Sources: SpaceWERX: home · AFWERX: Get Funded
National Security Innovation Network (NSIN)
Defense Innovation Unit (formerly)
The National Security Innovation Network (NSIN) connected universities and startups with defense organizations. It no longer operates on its own: in October 2024 the Defense Innovation Unit (DIU) folded it into an integrated commercial operations team.
What you get
- No standalone NSIN programs are listed; nsin.mil no longer resolves.
- Former NSIN-style engagement now runs through DIU's challenges, Commercial Acceleration Opportunities and solicitations.
- Who it’s for
- Companies and university teams that would once have used NSIN should go through DIU.
- Defense angle
- DIU's 2023 DIU 3.0 plan set out to absorb NSIN and National Security Innovation Capital (NSIC) to reduce duplication; GAO reported the integration in February 2025.
Sources: GAO-25-106856: Defense Innovation Unit (Feb 27, 2025) · DIU: Open Solicitations
Army Applications Laboratory (AAL)
U.S. Army
The Army Applications Laboratory (AAL) matches nontraditional companies with Army problems and helps develop and transition their solutions. It is based at Capital Factory in Austin.
What you get
- Plain-language solicitations, contracts tailored to small businesses, and access to Army experts and end users.
- Funding from several sources, including research, development, test and evaluation (RDT&E) funds, SBIR and private capital.
- A Cohort Program in which several companies work together on a complex Army problem.
- A Broad Agency Announcement for whitepapers (no dedicated funding attached) and a solver network that notifies members of new opportunities.
- Who it’s for
- Companies that have done little or no work with the Department of War.
- Defense angle
- Projects are sponsored by Army problem owners, such as cross-functional teams and program managers.
- How to apply
- Open opportunities are posted on the AAL industry page; join the network to hear about new cohorts.
- Where
- Capital Factory, 701 Brazos St., Austin, Texas
Sources: AAL: About · AAL: Cohort Program · AAL: FAQ
NavalX (now part of the Navy's Rapid Capabilities Office)
U.S. Department of the Navy
NavalX, the Navy's innovation office set up in 2019, was absorbed into the new Naval Rapid Capabilities Office under an August 2025 Navy Secretary memo. Its website now redirects to the Department of the Navy Rapid Capabilities Office (DONRCO).
What you get
- DONRCO takes industry submissions through Vulcan, its intake pipeline, which routes them to teams and problems and announces new requests for proposals or information.
- Its stated aim is to deliver capability to the fleet within zero to three years.
- Who it’s for
- Companies with scalable off-the-shelf products and technology for Navy and Marine Corps needs.
- Defense angle
- DONRCO serves as the Department of the Navy's single accountable organization for rapid delivery to the fleet.
- How to apply
- Register on Vulcan to submit ideas and receive notices.
Sources: Defense News: Phelan establishes new Naval Rapid Capabilities Office (Aug 26, 2025) · DONRCO: home · DONRCO: About
SOFWERX
DEFENSEWERX, under a partnership intermediary agreement with USSOCOM
SOFWERX is an innovation platform for U.S. Special Operations Command (USSOCOM), run as a 501(c)(3) nonprofit under a partnership intermediary agreement signed with DEFENSEWERX in September 2015.
What you get
- Collaboration events, assessment events and prize challenges for specific USSOCOM program offices.
- Tech Tuesday presentation slots; new submissions are paused for now.
- An ecosystem mailing list for challenge notices, and facility tours on Wednesdays.
- Who it’s for
- Companies, academics and labs with technology relevant to special operations forces.
- Defense angle
- Upcoming events include assessments of air-launched effects and unmanned surface vessels and a distributed micro sensors prize challenge (October to December 2026).
- How to apply
- Event by event; each event posts its own submission deadline.
- Where
- Tampa, Florida
Sources: SOFWERX: home · SOFWERX: About
Army xTech
U.S. Army (Army FUZE xTech Program, under ASA(ALT))
Army xTech runs prize competitions that connect small businesses with the Army. The program is managed under the Assistant Secretary of the Army for Acquisition, Logistics, and Technology (ASA(ALT)) as part of Army FUZE, and many competitions lead to SBIR awards.
What you get
- Cash prizes at each round. xTech|Search 10, for example, offers up to $1,000,000 in total: $5,000 to each of up to 50 semifinalists, $20,000 to each of up to 20 finalists, and $200,000, $100,000 and $50,000 to the top three.
- Finalists may submit a Phase I Army SBIR or STTR proposal worth up to $300,000.
- Education, mentorship and networking with Army stakeholders.
- Who it’s for
- Mostly U.S. small businesses; some competitions, such as xTech|Disrupt Endurance, also accept large businesses and companies from allied countries.
- Defense angle
- Competitions target Army priorities, such as sensors, artificial intelligence, contested logistics and power.
- How to apply
- Competition by competition, starting with a white paper. xTech|Search 10 white papers are due October 19, 2026 at 5pm ET, with finals planned for March 2027 in Miami.
Sources: Army xTech: home · Army SBIR|STTR: xTech|Search 10 topic
Office of Strategic Capital (OSC)
U.S. Department of War
The Office of Strategic Capital (OSC) is the Department of War's finance office. It offers loans and loan guarantees to scale private investment in critical technologies and supply chains.
What you get
- Direct loans of up to $150 million for U.S. projects, including manufacturing facilities.
- Fund-level financing of up to $175 million per fund through the Small Business Investment Company Critical Technology (SBICCT) Initiative with the Small Business Administration.
- National Security Fund Finance (NSFF): credit facilities of $500 million to $1 billion for credit funds investing in critical minerals. Fund managers apply, not operating companies.
- Who it’s for
- Companies and investment funds working in one of the statutory covered technology categories, assessed on national security value and creditworthiness.
- Defense angle
- In 2026, OSC made conditional commitments of up to $820 million to Performance Drone Works for domestic drone component manufacturing and $400 million to Sunrise Energy Metals for scandium.
- How to apply
- Through Notices of Funding Availability. The NSFF notice was posted August 20, 2026, with proposals due November 1, 2026.
Sources: Office of Strategic Capital · CRS In Focus IF13215: Office of Strategic Capital (Sep 8, 2026)
APEX Accelerators
Department of War Office of Industrial Base Growth
APEX Accelerators are a national network of local offices that help businesses enter and compete in federal, state and local government contracting. They were called Procurement Technical Assistance Centers (PTACs) until November 7, 2022.
What you get
- No-cost guidance, support services, education and training for companies new to government contracting.
- Local offices nationwide (92 in the April 2024 to March 2025 program year), including six that serve Native American businesses.
- Who it’s for
- Any business, especially one new to government contracting.
- Defense angle
- The program is managed by the Department of War to grow the defense industrial base; 35% of new clients in its latest program year had capabilities in DoW critical technology areas.
- How to apply
- Ongoing; find your local office on the APEX Accelerators map.
- Where
- Local offices across the United States
Sources: APEX Accelerators: home · Office of Industrial Base Growth: APEX Accelerators release program impact data · APEX Accelerators FY2023 Notice of Funding Opportunity, Amendment 4
Checked against each program’s own pages on Oct 12, 2026. Terms and deadlines change; confirm on the official site before applying.
Frequently Asked Questions
What is a Commercial Solutions Opening?
A Commercial Solutions Opening (CSO) is a solicitation the Defense Innovation Unit (DIU) uses to buy commercial technology: DIU posts a problem, companies answer with a short solution brief, and DIU invites promising companies to pitch, then negotiates. Awards are prototype Other Transaction (OT) agreements under 10 U.S.C. 4022, made in as few as 60 to 90 days with milestone payments.
How fast can DIU award a contract?
The Defense Innovation Unit (DIU) can award prototype Other Transaction (OT) agreements in as few as 60 to 90 days, with milestone payments. After a successful prototype, any Department of War (DoW) entity can award a follow-on production contract without new competition, and DIU issues a Success Memo that other federal agencies can use. Projects must be solvable with commercial technology within 12 to 24 months.
Can foreign companies work with DIU?
Yes. The Defense Innovation Unit (DIU) accepts any company or individual with a commercial solution, including first-time government vendors and companies in allied countries, though some solicitations require U.S. citizen key personnel. Solicitations open and close individually on DIU's open-solicitations page, and DIU also takes company interest forms at any time.
What happened to NSIN?
The National Security Innovation Network (NSIN) no longer operates on its own: in October 2024 the Defense Innovation Unit (DIU) folded it into an integrated commercial operations team. DIU's 2023 DIU 3.0 plan set out to absorb NSIN and National Security Innovation Capital (NSIC), and the Government Accountability Office (GAO) reported the integration in February 2025. Former NSIN-style engagement now runs through DIU's challenges, Commercial Acceleration Opportunities and solicitations.
What happened to NavalX?
NavalX, the Navy's innovation office set up in 2019, was absorbed into the new Naval Rapid Capabilities Office under an August 2025 Navy Secretary memo. Its website now redirects to the Department of the Navy Rapid Capabilities Office (DONRCO), which takes industry submissions through Vulcan, an intake pipeline that routes them to teams and problems and announces new requests for proposals or information.
What is Army xTech?
Army xTech runs prize competitions that connect small businesses with the Army, and many lead to Small Business Innovation Research (SBIR) awards. Competitions start with a white paper and pay cash prizes each round. xTech|Search 10 offers up to $1,000,000 in total, its finalists may submit a Phase I Army SBIR or Small Business Technology Transfer (STTR) proposal worth up to $300,000, and white papers are due October 19, 2026.
Does the Department of War offer loans to companies?
Yes. The Office of Strategic Capital (OSC), the Department of War's finance office, offers loans and loan guarantees, including direct loans of up to $150 million for U.S. projects such as manufacturing facilities. Applicants must work in one of the statutory covered technology categories and are assessed on national security value and creditworthiness. OSC also offers fund-level financing of up to $175 million per fund.