DOD SBIR Proposal Guide: Agency-by-Agency Breakdown
July 20, 2025 · 14 min read
Tomas Kowalski

The Department of Defense is the largest single funder in the SBIR program. In fiscal year 2025, DOD awarded approximately $1.8 billion in SBIR contracts across its military services and defense agencies. That scale creates enormous opportunity, but it also creates complexity. DOD SBIR is not one program -- it is a constellation of programs run by organizations with different missions, different technology priorities, different evaluation cultures, and different pathways to transition.
This guide breaks down the major DOD components that issue SBIR topics, covering their focus areas, typical funding levels, unique requirements, and practical advice for first-time applicants.
How DOD SBIR Works: The Basics
Before diving into individual agencies, you need to understand the structure that all DOD SBIR components share.
The DSIP Portal
All DOD SBIR proposals are submitted through the Defense SBIR/STTR Innovation Portal (DSIP), accessible at defensesolutions.gov. This is your central hub for finding open topics, submitting proposals, checking award status, and managing your company's DOD SBIR portfolio.
DSIP registration requires a SAM.gov Unique Entity ID (UEI) and an SBA Company Registry profile. Complete both registrations before you start writing. SAM.gov registration can take up to four weeks, and DSIP account approval adds additional time.
Solicitation Cycles
DOD releases SBIR solicitations in cycles, typically three per fiscal year. Each cycle includes topics from multiple components (Army, Navy, Air Force, DARPA, etc.) all published under a single DOD-wide solicitation. A typical cycle includes 200 to 400 topics.
Each cycle has defined open and close dates. The pre-release period (when topics are viewable but not yet accepting submissions) usually lasts 15-30 days, followed by an open period of 30-60 days for proposal submission. Unlike NIH, which accepts proposals year-round, DOD SBIR has hard windows.
Some components also accept proposals through Open Topic solicitations on a continuous basis. These are broader and less prescriptive than traditional topics.
Topic Structure
Each DOD SBIR topic includes:
- Topic number (e.g., AF251-0012)
- Title describing the technology need
- Technology area and keywords
- Objective -- what the component wants to achieve
- Description -- detailed problem statement, current state of the art, and desired capabilities
- Phase I deliverables -- what you must produce during Phase I
- Phase II potential -- description of the envisioned Phase II effort
- References -- technical documents, standards, and publications relevant to the topic
- Topic author contact information -- the government scientist or engineer who wrote the topic
The topic description is your primary reference document. Your proposal must directly address the stated objective and description. Unlike NIH, where you propose your own research question, DOD SBIR requires you to solve a specific, defined problem.
Evaluation Criteria
DOD SBIR proposals are evaluated on three primary criteria:
- Technical Merit -- The soundness and innovation of the proposed approach, the feasibility of the technical plan, and the quality of the proposed deliverables.
- Qualifications -- The PI's expertise, the company's relevant experience, and the adequacy of facilities and equipment.
- Commercial Potential -- The potential for the technology to transition to DOD use or commercial markets, the strength of the commercialization plan, and evidence of market interest.
The relative weighting varies by component, but technical merit is always the primary criterion. Some components also evaluate "Relevance to Topic" as a separate criterion -- a reminder that responsiveness to the specific topic is non-negotiable.
The Military Services
United States Army
The Army SBIR program is managed by the Army Applications Lab and issues topics across a wide range of technology areas, reflecting the Army's diverse modernization priorities.
Key Focus Areas:
- Next-generation combat vehicles and autonomous ground systems
- Soldier lethality (advanced weapons systems, targeting, night vision)
- Network modernization (tactical communications, electronic warfare, spectrum management)
- Long-range precision fires (hypersonic weapons, missile defense, extended-range munitions)
- Synthetic training environments and simulation
- Biotechnology and human performance optimization
- Sustainment and logistics (predictive maintenance, additive manufacturing, energy efficiency)
Typical Funding:
- Phase I: $50,000 to $275,000 over 6-12 months
- Phase II: $750,000 to $1,800,000 over 24 months
What to Know: The Army has been aggressive about accelerating SBIR transition through its Army Applications Lab. The lab runs "Pitch Days" where Phase I awardees present directly to program managers, and successful pitches can lead to rapid Phase II awards. The Army also uses the Open Topic model, allowing companies to propose solutions to broadly defined capability gaps without responding to a specific technical topic.
Army topics often originate from Program Executive Offices (PEOs) and research laboratories (ARL, DEVCOM, ERDC). If you can identify which PEO or lab authored the topic, you can research their broader technology roadmap to better align your proposal with their long-term needs.
United States Navy
The Navy SBIR program issues topics through Naval Research (ONR), Naval Sea Systems Command (NAVSEA), Naval Air Systems Command (NAVAIR), Naval Information Warfare Systems Command (NAVWAR), and other Navy systems commands.
Key Focus Areas:
- Undersea warfare (submarine systems, autonomous underwater vehicles, mine countermeasures)
- Naval aviation (carrier-based aircraft systems, unmanned aerial systems, sensor integration)
- Surface combatant technology (radar, weapons systems, ship construction, corrosion control)
- Cybersecurity and information warfare
- Marine Corps ground combat and amphibious operations
- Naval nuclear propulsion and power systems
- Directed energy weapons
Typical Funding:
- Phase I: $140,000 to $275,000 over 6-12 months
- Phase II: $750,000 to $1,800,000 over 24 months
What to Know: The Navy places strong emphasis on technology transition. NAVAIR and NAVSEA, in particular, are acquisition-focused commands that want SBIR technologies to feed directly into programs of record. If you are writing a Navy SBIR proposal, demonstrate that you understand where your technology fits in the Navy's acquisition pipeline.
ONR-originated topics tend to be more research-oriented, while topics from the systems commands are more applied and transition-focused. Tailor your proposal accordingly: an ONR topic may reward technical depth and scientific rigor, while a NAVSEA topic may reward engineering readiness and manufacturing feasibility.
The Navy also operates the SBIR/STTR Transition Program (STP), which provides additional funding and support to help Phase II technologies transition to Navy programs of record. Mentioning your awareness of STP in your commercialization plan demonstrates familiarity with Navy transition pathways.
United States Air Force
The Air Force SBIR program, managed by AFWERX, has become one of the most innovative and accessible DOD SBIR programs. AFWERX has modernized the Air Force's approach to small business innovation with streamlined processes and a strong emphasis on rapid prototyping and commercial market integration.
Key Focus Areas:
- Autonomous systems and AI (unmanned aircraft, mission autonomy, human-machine teaming)
- Space operations (satellite systems, space domain awareness, launch technology, orbital services)
- Advanced propulsion (hypersonic systems, next-generation engines, sustainable aviation fuel)
- Command, control, communications (C3) and data fusion
- Cyber operations and resilient networks
- Advanced manufacturing and sustainment
- Base infrastructure modernization and energy resilience
Typical Funding:
- Phase I: Up to $75,000 (AFWERX uses a smaller Phase I with faster decisions) or standard $275,000 for traditional topics
- Phase II: Up to $1,800,000 over 24 months
- Phase II Enhancement: Additional funding when matched by a DOD customer
What to Know: AFWERX has fundamentally changed the Air Force SBIR process. The program uses Open Topics extensively, which means you can propose solutions to broadly defined challenge areas rather than responding to narrow technical topics. This is a significant advantage for companies whose innovation does not fit neatly into a predefined topic.
AFWERX also runs the SBIR Open Topic with a two-phase application. Phase I is a short proposal (approximately 12 pages) with rapid evaluation (60-90 days). Successful Phase I awardees are then invited to a Phase II pitch, where they present their results and transition plan to potential DOD customers. If a DOD customer expresses interest, Phase II funding follows.
The emphasis on customer pull is central to AFWERX's model. A strong Air Force SBIR proposal does not just describe good technology -- it identifies a specific Air Force or Space Force user who needs it and explains how you will get it into their hands.
Defense Agencies
Defense Advanced Research Projects Agency (DARPA)
DARPA is the DOD's advanced research arm, and its SBIR program reflects that mission. DARPA topics are typically at the cutting edge of science and technology, and the expectations for technical ambition are higher than at any other DOD component.
Key Focus Areas:
- Artificial intelligence, machine learning, and cognitive computing
- Quantum computing and quantum sensing
- Biotechnology and biosecurity
- Hypersonic systems and advanced propulsion
- Microelectronics and advanced semiconductor technology
- Space architecture and resilient space systems
- Cyber and information operations
- Materials science and nanotechnology
Typical Funding:
- Phase I: $150,000 to $275,000 over 6-18 months
- Phase II: $750,000 to $1,800,000 over 24 months
What to Know: DARPA SBIR topics are written by program managers (PMs) who are typically leading larger DARPA programs. The SBIR topic is usually a piece of a bigger puzzle -- a specific technology gap within a broader program. Understanding the parent DARPA program gives you enormous context for what the PM is really looking for.
DARPA proposals should be technically bold. The agency's motto -- "Creating and preventing strategic surprise" -- sets the tone. Incremental improvements to existing technology will not score well. Reviewers want to see approaches that could change the game if they work, even if the risk of failure is significant.
That said, DARPA expects you to demonstrate awareness of the risks and to have a plan for mitigating them. A high-risk, high-reward approach with a thoughtful risk mitigation strategy is the sweet spot.
DARPA also moves faster than most DOD components. Phase I evaluations typically take 3-4 months, and the agency is known for rapid Phase II transitions when the Phase I results are strong.
Missile Defense Agency (MDA)
MDA develops and fields the nation's ballistic missile defense systems, and its SBIR program supports this mission with topics focused on detection, tracking, interception, and system integration.
Key Focus Areas:
- Sensor systems for missile detection and tracking (infrared, radar, space-based)
- Interceptor technology (kill vehicles, propulsion, guidance systems)
- Discrimination and classification (distinguishing warheads from decoys)
- Battle management and command, control, communications (BMC3)
- Cybersecurity for missile defense networks
- Modeling and simulation for missile defense scenarios
- Directed energy for missile defense applications
Typical Funding:
- Phase I: Up to $275,000 over 6-12 months
- Phase II: Up to $1,800,000 over 24 months
What to Know: MDA topics are highly specific and technically demanding. The agency works on a defined set of programs (Aegis, THAAD, GMD, HBTSS, NGI), and most SBIR topics are tied to specific capability gaps within these programs. If you are not familiar with missile defense systems and their technical challenges, MDA topics will be difficult to address credibly.
MDA values proposals that demonstrate understanding of the operational context. Your technology must work within the constraints of missile defense -- extreme speeds, harsh environments, split-second decision timelines, and absolute reliability requirements. Frame your innovation within these constraints, not abstractly.
Defense Threat Reduction Agency (DTRA)
DTRA's mission is to counter weapons of mass destruction (WMD) -- chemical, biological, radiological, and nuclear (CBRN) threats. Its SBIR program supports technology development for threat detection, protection, and response.
Key Focus Areas:
- Chemical and biological agent detection and identification
- Radiological and nuclear detection and forensics
- Medical countermeasures against CBRN threats
- Decontamination technology
- WMD elimination and counter-proliferation tools
- Structural hardening and blast effects mitigation
- CBRN defense for military installations and personnel
Typical Funding:
- Phase I: $150,000 to $275,000 over 6-12 months
- Phase II: Up to $1,800,000 over 24 months
What to Know: DTRA topics are niche but critically important. If your technology addresses CBRN detection, protection, or response, DTRA is a natural fit and often less competitive than Army, Navy, or Air Force topics because fewer companies work in this space.
DTRA strongly values dual-use applications. Technology that can protect both military personnel and civilian first responders is particularly attractive. Reference potential applications for the Department of Homeland Security, state and local emergency management agencies, and international partners in your commercialization plan.
United States Special Operations Command (SOCOM)
SOCOM oversees special operations forces across all military branches and funds SBIR topics that address the unique technology needs of operators working in austere, denied, and unconventional environments.
Key Focus Areas:
- Intelligence, surveillance, and reconnaissance (ISR) for special operations
- Tactical communications in contested and denied environments
- Lightweight power and energy solutions for dismounted operators
- Advanced materials for personal protection and concealment
- Unmanned systems (air, ground, maritime) for special operations missions
- Biomedical monitoring and human performance
- Advanced training and simulation
- Expeditionary logistics and sustainment
Typical Funding:
- Phase I: Up to $275,000 over 6-12 months
- Phase II: Up to $1,800,000 over 24 months
What to Know: SOCOM topics are driven by operational requirements from the special operations community. The operators who will use your technology may be conducting missions in environments where conventional military systems are too large, too heavy, too noisy, or too detectable.
Size, weight, and power (SWaP) are pervasive considerations in SOCOM topics. If your technology is compact, lightweight, and energy-efficient, emphasize these attributes. If it is not, explain how it will be miniaturized or optimized during development.
SOCOM also values speed of transition. The command has a reputation for rapidly fielding technologies that work, often bypassing the lengthy acquisition processes that characterize other DOD components. A strong SOCOM SBIR proposal includes a transition plan that accounts for this accelerated timeline.
Defense Health Agency (DHA)
DHA manages the Military Health System and funds SBIR topics focused on medical technology, healthcare delivery, and force health protection.
Key Focus Areas:
- Point-of-care diagnostics for battlefield and austere environments
- Telemedicine and remote health monitoring
- Traumatic brain injury (TBI) diagnosis and treatment
- Infectious disease surveillance and countermeasures
- Prosthetics, orthotics, and rehabilitation technology
- Military mental health (PTSD, substance abuse, resilience)
- Medical logistics and supply chain optimization
- Dental readiness technology
Typical Funding:
- Phase I: $150,000 to $275,000 over 6-12 months
- Phase II: Up to $1,800,000 over 24 months
What to Know: DHA topics overlap significantly with NIH SBIR in subject matter, but the evaluation culture is different. DHA reviewers are looking for technologies that can be deployed in military medical settings -- field hospitals, combat medic bags, garrison clinics, and military treatment facilities. The operational context matters as much as the clinical efficacy.
If your technology has both military and civilian medical applications, you can potentially pursue both DHA SBIR and NIH SBIR, but the proposals should be tailored to each agency's priorities and evaluation criteria.
Chemical and Biological Defense Program (CBD)
The CBD program, managed within the Office of the Secretary of Defense, funds SBIR topics specifically focused on chemical and biological defense. There is overlap with DTRA, but CBD topics tend to focus more on protection and medical countermeasures, while DTRA covers the broader threat reduction spectrum.
Key Focus Areas:
- Next-generation protective equipment (masks, suits, shelters)
- Chemical and biological detection and early warning systems
- Medical countermeasures (vaccines, therapeutics, pre-treatments)
- Decontamination of personnel, equipment, and infrastructure
- Collective protection systems for vehicles and facilities
Typical Funding:
- Phase I: $150,000 to $275,000 over 6-12 months
- Phase II: Up to $1,800,000 over 24 months
What to Know: CBD topics are highly specialized. If you work in chemical or biological defense technology, this is a dedicated funding source that complements DTRA and DHA. The program coordinates closely with the Joint Program Executive Office for Chemical, Biological, Radiological, and Nuclear Defense (JPEO-CBRND), which manages the acquisition programs that SBIR technologies may transition into.
Tips for First-Time DOD SBIR Applicants
Contact the Topic Author
This is the single most valuable thing you can do before writing a DOD SBIR proposal. The topic author is a government scientist or engineer who wrote the topic because they have a real problem to solve. A 15-minute phone call can tell you whether your approach is on target, what aspects of the problem they consider most important, and whether there are unstated requirements or constraints.
Every topic listing on DSIP includes the topic author's name and contact information. Use it. Program managers expect and welcome these calls.
Understand the Difference Between Topics
Not all DOD SBIR topics are created equal. Some are "pull" topics -- the topic author has a specific program of record that needs this technology, funding is lined up for Phase II, and the topic exists because the program office wants a solution. These topics have the highest transition potential.
Other topics are more exploratory -- a government researcher has identified an interesting technology area but does not have a specific transition pathway in mind. These can still result in good Phase I awards, but the path to Phase II and beyond may be less certain.
You can often distinguish between these by reading the "Phase II Potential" section of the topic. If it describes specific integration opportunities, named programs, or testing events, the topic author has a transition plan. If it is vague, the topic may be more exploratory.
Tailor Your Commercialization Plan for DOD
DOD commercialization is different from commercial market commercialization. Your primary "customer" may be a DOD program office, not a consumer or enterprise buyer. Your commercialization plan should address:
- Which DOD programs or commands would use your technology
- How your technology maps to DOD acquisition categories (ACAT, MTA, OTA)
- Whether you can participate in DOD testing events or exercises
- Your strategy for winning a Phase III contract or Other Transaction Authority (OTA) agreement
- Dual-use applications (DOD plus commercial markets)
Budget for What DOD Expects
DOD SBIR budgets should reflect the cost of defense-relevant R&D. If your Phase I budget is $80,000 for a topic that allows up to $275,000, reviewers may question whether you have scoped the work appropriately. Conversely, if every line item is at the maximum allowable rate with no justification, the budget looks padded.
Common budget items for DOD SBIR proposals include: PI and engineering staff labor (with appropriate overhead and fringe rates), materials and components for prototype development, computational resources, test and evaluation costs, subcontracts to universities or specialized test facilities, and travel to DOD customer sites.
Leverage the DOD SBIR Ecosystem
DOD has built an extensive ecosystem to support SBIR companies:
- SBIR/STTR Transition Programs -- Each service has programs that provide additional funding and support to help Phase II technologies reach the warfighter.
- Defense Innovation Unit (DIU) -- Works with commercial companies to solve DOD problems, and SBIR companies with mature technologies can engage DIU for rapid prototyping opportunities.
- Service-specific accelerators -- AFWERX (Air Force), NavalX (Navy), and Army Applications Lab run programs that connect SBIR companies with end users.
- SBIR Phase III preference -- Federal law requires DOD to give preference to SBIR companies when procuring the technology developed under an SBIR award. This is a powerful advantage in competing for follow-on contracts.
If you are preparing a DOD SBIR proposal and want to ensure your submission addresses the topic requirements and evaluation criteria, Granted AI can analyze the topic description, structure your proposal, and help you build a commercialization plan that speaks to DOD's transition priorities.
Keep Reading
- SBIR Grant Guide 2026: Everything You Need to Know Before Applying
- SBIR Phase I vs Phase II: Requirements, Timelines, and Strategy
- Pentagon's $13 Billion AI & Autonomy Budget: How to Win Defense Contracts
- See how Granted AI works for SBIR proposals
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