# Defense Innovation Unit (DIU)

**R-2A activity** of project 474 — DIU  
**Program element:** 0603342D8Z — Defense Innovation Unit (DIU)  
**Component:** Defense-Wide · **Budget Activity:** 3  
**Vintage:** President's Budget PB2027  
**Canonical URL:** https://hitchintel.com/programs/0603342D8Z/474/a0  
**Parent:** https://hitchintel.com/programs/0603342D8Z/474

> **RESTART.** Funded in FY2025 ($130.9M), zeroed in FY2026, $522.6M requested again in FY2027.

## Summary

This activity requests $522.6M in FY2027, 100% of project 474 — a restart, funded in FY2025 and zeroed in FY2026. The R-2A exhibit describes it across FY2025–FY2027, including what the FY2027 money is planned to buy.

## What the FY2027 request buys

**FY2027 planned work.** Continue to increase the Department's access to commercial technologies and talent consistent with the Administration's 2026 National Defense Strategy and the National Defense Science and Technology Strategy.

**FY2026 to FY2027 change.** The $522.559 million funding request is necessary to support the Secretary's directive to focus on innovation that delivers asymmetric advantages while prioritizing commercial capabilities that will deliver immediate results. This is accomplished by awarding scalable contracts using agile processes and contracting authorities to companies offering solutions to national security challenges across a variety of technology areas and utilizing a diverse team of experts to reduce the time it takes the DoW to identify a problem, prototype a commercial solution, and implement it into the field to two years or less. The FY 2027 request includes realignments initiated in FY 2026 from PE 0603021D8Z: National Security Innovation Capital ($15.014 million) and PE 0603950D8Z: National Security Innovation Network ($21.644 million) to better support mission requirements.

## Before the request year

**FY2025 accomplishments.** Execute at an accelerated pace on DIU 3.0 strategy leveraging the codification of DIU in the National Defense Authorization Act of Fiscal Year 2025 and momentum from throughout 2026, to: •Refocus DIU on a smaller number of critical technology solutions that make a meaningful difference to the nation’s most strategic priorities, i.e., through real impact on Operational Plans, deterrence options, and scale operations •Ensure clarity of demand signals (Combatant Commands, Services, 4th Estate) for commercial technology solutions and staff support (Office of Secretary of Defense, Joint Staff, others) for commercial technology solutions to help the Department maximize likelihood of scale execution required for strategic impact; help develop and institutionalize appropriate processes to support scale at speed while managing risk •Catalyze/mobilize/enable nodes of commercial tech innovation across DoD into a coordinated community of innovation in support of Secretary and Deputy Secretary of Defense priorities •Serve as focal/bridging point to commercial tech sector and related private sector communities (e.g., financial), including at leadership level, in order to clarify the demand signals required for focus, speed, and scale, and best leverage those relationships to drive impact for DoD •Build an international community of innovation among our closest allies and partners, through exchange of Embeds, collaboration where appropriate, and sharing of best practices; deliver impact from that community for strategic technology priorities, strategic comms, and scale opportunity for commercial partners •Build trust and sense of momentum, in all directions (Congress, tech sector, Office of Secretary of Defense, Services, Combatant Commands) •Reshape DIU culture and team to deliver as a fully integrated disruptive change leader— and great teammate—on the broader DoD team. •Serve as senior advisor to the Secretary and Deputy Secretary of Defense on technology innovation, competition, and strategic impact Under DIU’s expanded mandate, DIU will continue the following efforts, in addition to efforts alongside innovation partners and end-customers in Services, Combatant Commands and Office of Secretary of Defense: •Critical Tech Industrial Base Expansion: Invest in domestic & allied hardware companies (microelectronics, advanced comms, human systems) to protect them from adversary capital •Global Partnerships: Expand DIU’s collaboration to develop and deliver commercial technology solutions with allies & partners •Blue Unmanned Aircraft Systems: Expedite delivery of commercial UAS for warfighter use •Director’s Immediate Strategic Impact: Enable DIU Director to rapidly address emerging needs with innovative solutions •Academic Innovation Network: Facilitate the sustainment of ongoing academic programming and current and future OnRamp Hub sites, along with support activities associated with these facilities. These support activities include the funding to support the broader Regional Network Team, and programs such as accelerators, prize challenges, and mentoring activities designed to support early-stage ventures and talent as they navigate the national security innovation base. Initial funding for OnRamp Hubs and associated programming provided by a FY 2023 congressional add in the NSIN PE 0603950D8Z and in FY 2025 combined with DIU’s PE as part of the larger integration of NSIN into DIU.

## Funding

| Fiscal Year | Estimate Type | Amount ($M) |
|---|---|---|
| FY2025 | Actual | 130.9 |
| FY2027 | Request | 522.6 |

> Prior, current and budget year only — an R-2A activity carries no five-year plan. It sums exactly into its project in the request year and not necessarily in any other.

## Source & machine access

- **Source:** FY2027 Office of the Secretary of Defense RDT&E Budget Justification, Exhibit R-2A, PE 0603342D8Z project 474 (PB PB2027). Narrative is the government's own text.
- **No marks, no contractors at this grain** — congressional marks land on the program element and R-3 performers on the project.
- **MCP:** `mcp.hitchintel.com` — `budget_get_activity`.

*HitchAI is an independent intelligence service, not affiliated with the U.S. Department of Defense. Budget figures are requests/estimates, not obligations.*