Dutch Ministry of Defense Launches €100 Million Security Fund for Startups
The Hague, Friday, 6 December 2024.
The Dutch Ministry of Defense is launching a €100 million fund to support startups focused on dual-use innovations, enhancing both national security and civil applications.
Strategic Investment in Innovation
Announced in October 2024, the SecFund (‘Security Fund’) will provide early-stage financing to Dutch startups, scale-ups, and innovative SMEs addressing defense innovation needs [1]. The fund will offer investments of up to €5 million per company, targeting enterprises that develop dual-use technologies - solutions applicable in both military and civilian sectors [1]. This initiative comes as research from the European Union indicates that defense sector companies face significantly higher barriers to securing risk capital compared to other industries [1].
Dual-Use Technology Focus
The fund specifically targets innovations with versatile applications across both civilian and security sectors [1]. For example, sound-reduction technology that can be applied to both industrial facilities and military drones, and advanced LiFi data transmission systems that outperform traditional WiFi in speed and data capacity [1]. State Secretary of Defense Gijs Tuinman emphasized that ‘SecFund will support start-ups and scale-ups in a crucial phase to jointly develop innovations for a safer Netherlands’ [1].
Collaborative Implementation
The initiative represents a strategic partnership between the Ministry of Defense, Ministry of Economic Affairs, and regional development companies (ROMs) [1]. The Brabant Development Agency (BOM) will manage the fund in collaboration with other regional development agencies, leveraging their extensive experience in investment and venture development [1]. This coordinated approach aims to strengthen the Netherlands’ strategic autonomy and economic security while enhancing long-term earning potential [1].
Timeline and Accessibility
The SecFund is scheduled to begin accepting applications from interested companies in January 2025 [1]. This timing aligns with broader international trends in defense innovation funding, as seen with similar initiatives like NATO’s DIANA program, which provides funding support for defense technology developers across the Alliance [3].