Navy SBIR/STTR

Navy SBIR Phase I

Funds United States naval small-business ideas for ship, aviation, undersea, and autonomy-related feasibility studies.

Navy SBIR Phase I is the feasibility stage of the U.S. Department of the Navy's Small Business Innovation Research program, targeted at addressing technology needs across Navy and Marine Corps System Commands including NAVAIR, NAVSEA, NAVWAR, ONR, MARCORSYSCOM, NAVSUP, and Strategic Systems Programs. Established under 15 USC 638, the program is designed to stimulate technological innovation, match small businesses to federal R&D needs, and increase private-sector commercialization of federally funded research. Topics span ships and submarine systems, aviation, undersea warfare, weapons and directed energy, communications and networks, autonomous systems, sensors, and Marine Corps ground equipment.

Phase I awards are capped at the DoD-wide statutory ceiling of $323,090, structured as two periods: a base period not to exceed $140,000 over six months, with an option period of up to $100,000 for an additional six months, for a combined maximum of $240,000 under the Navy's own guidelines (the $323,090 statutory cap governs the absolute ceiling). Awards are delivered as cooperative agreements. Eligible applicants must be U.S.-registered for-profit small businesses with no more than 500 employees including all affiliates and with at least 51 percent ownership by U.S. citizens or permanent residents. The small business must perform at least two-thirds of the Phase I work. All R&D must be conducted in the United States. TRL entry range is approximately 2–4.

The Navy issues SBIR Broad Agency Announcements approximately three times per year on a schedule coordinated with DoD. The FY26 BAA cycle runs six releases from April through October 2026, with Release 1 open through June 3, 2026. Topics and proposals are managed through the Defense SBIR/STTR Innovation Portal (DSIP). The Navy also operates an Open Topics BAA model (introduced in BAA 24.4) allowing companies to propose against broader technology frames. Evaluation is by merit review conducted by topic subject-matter experts within the relevant System Command.