DAF26TZ05-NV005: Real Time Enhanced Fine Tracking in Directed Energy Applications
Below is a brief summary. Please check the full solicitation before applying (link in resources section).
Quick Answer
The Department of the Air Force is offering a Phase I STTR award of up to $300,000 for companies developing a real-time 3D imaging and tracking pipeline for the fine track segment of directed energy systems, aimed primarily at counter-drone applications. This is topic DAF26TZ05-NV005 under the DoW FY26 STTR BAA Release 5. As an STTR, this topic requires a formal partnership with a research institution. Proposals are due September 23, 2026 through DSIP.
What This Solicitation Is
This is a Small Business Technology Transfer topic, distinct from a standard SBIR award. STTR requires the small business to formally partner with a single Research Institution, such as a university or federally funded R&D center, for the duration of the project. This is not optional and there are no deviations permitted from the required work split.
The topic falls under the Directed Energy, Trusted AI and Autonomy, and Advanced Computing and Software component priority areas, with Scaled Hypersonics listed as the OUSW critical technology area. It carries a projected CMMC Level 2 (Self) requirement. This topic description does not carry the standard ITAR/EAR restriction language seen elsewhere in this release, but given the directed energy and counter-drone application, applicants should still confirm export control status with the contracting officer.
What DAF Is Looking For
Counter-drone defense is a top priority for the Department of War, and current directed energy tracking relies on 2D imagery that struggles against low-flying targets set against cluttered backgrounds. 2D imaging cannot cleanly separate a target from clutter without extra processing, and coherent illumination introduces its own problems, namely scintillation and speckle noise, that degrade tracking accuracy. These weaknesses hit hardest in the fine track segment of the directed energy kill chain, where tracking loops need to run above 1kHz with very narrow fields of view to keep pace with a changing atmosphere.
AFRL wants to explore 3D imaging, specifically LiDAR or coherent 3D approaches like digital holography, combined with machine-learning-based declutter and image reconstruction, to close this gap. 3D imaging offers three specific advantages the topic calls out: precise range gating that separates a target from cluttered backgrounds, range images that are inherently robust against scintillation and speckle, and the ability to correct phase aberrations caused by aero-optics and turbulence. While the immediate driver is counter-drone defense tied to a recent executive order on missile defense, the underlying technology is also relevant to ballistic, cruise, and hypersonic missile defense more broadly.
Phase I work is organized around three research directions. Basic research covers determining system-level requirements for real-time 3D imaging and tracking, evaluating available motion-compensated 3D imaging techniques and selecting one after a pros and cons analysis, and building an empirical or theoretical signal-to-noise ratio model. Applied research covers maturing 3D tracking algorithms to work across different imaging modalities, determining what specific benefit coherent 3D and 2.5D imaging provide over conventional approaches, and developing software architecture capable of real-time tracking. The Phase I deliverable is a design and hardware specification for a prototype system, plus reports on the comparative strengths and weaknesses of different 3D imaging approaches, not a working hardware prototype itself.
Phase II moves into hardware, building a processor prototype capable of interfacing with real-time closed-loop hardware for aimpoint maintenance and demonstrating it in either a scaled laboratory optical system or an outdoor test range.
Funding and Timeline
Award maximum is $300,000 with a maximum period of performance of 6 months. Proposals exceeding either figure will not be considered. The technical volume page limit is 20 pages.
DAF also provides up to $6,500 in Technical and Business Assistance funding per Phase I award, on top of the cost proposal total.
Proposals are due September 23, 2026 through DSIP. DAF anticipates evaluation and selection within roughly 90 calendar days of solicitation close.
Who Should Apply
This topic fits companies with existing expertise in coherent optical sensing, digital holography, or LiDAR-based 3D imaging, ideally with some background in adaptive optics or image reconstruction through turbulence. Companies with machine-learning-based image restoration experience have an added edge given the topic's explicit interest in combining physics-based and ML-based reconstruction methods. Because this is an STTR, the applicant also needs a research institution partner already lined up or in active discussion, ideally one with relevant optics, photonics, or computational imaging research capability, since that partnership has to be formalized before submission.
Eligibility and Compliance Notes
STTR performance of work requirements are fixed and not open to deviation requests. A minimum of 40 percent of the effort must be performed by the small business, and a minimum of 30 percent must be performed by the single partnering research institution. Only one research institution can be used to satisfy STTR eligibility, though the applicant may hold discussions with multiple qualifying institutions before choosing one.
Unlike the Phase I SBIR topics in this same release cycle, small businesses majority owned by multiple venture capital operating companies, hedge funds, or private equity funds are NOT eligible to submit applications or receive STTR awards under this BAA.
All research and development work must happen in the United States except in rare, specifically approved circumstances requiring written approval from the funding agreement officer at initial submission. Only one principal investigator can be designated per proposal, and their technical resume with publications must be included. An Allocation of Rights Agreement with the research institution partner is also required as part of the cost volume documentation.
DAF runs a foreign risk evaluation and due diligence review on every proposal under 15 U.S.C. 638(vv), covering foreign ownership, financial ties to countries of concern, and listing on federal restricted entity lists.
DAF26TZ05-NV005: Real Time Enhanced Fine Tracking in Directed Energy Applications
Quick Answer
The Department of the Air Force is offering a Phase I STTR award of up to $300,000 for companies developing a real-time 3D imaging and tracking pipeline for the fine track segment of directed energy systems, aimed primarily at counter-drone applications. This is topic DAF26TZ05-NV005 under the DoW FY26 STTR BAA Release 5. As an STTR, this topic requires a formal partnership with a research institution. Proposals are due September 23, 2026 through DSIP.
What This Solicitation Is
This is a Small Business Technology Transfer topic, distinct from a standard SBIR award. STTR requires the small business to formally partner with a single Research Institution, such as a university or federally funded R&D center, for the duration of the project. This is not optional and there are no deviations permitted from the required work split.
The topic falls under the Directed Energy, Trusted AI and Autonomy, and Advanced Computing and Software component priority areas, with Scaled Hypersonics listed as the OUSW critical technology area. It carries a projected CMMC Level 2 (Self) requirement. This topic description does not carry the standard ITAR/EAR restriction language seen elsewhere in this release, but given the directed energy and counter-drone application, applicants should still confirm export control status with the contracting officer.
What DAF Is Looking For
Counter-drone defense is a top priority for the Department of War, and current directed energy tracking relies on 2D imagery that struggles against low-flying targets set against cluttered backgrounds. 2D imaging cannot cleanly separate a target from clutter without extra processing, and coherent illumination introduces its own problems, namely scintillation and speckle noise, that degrade tracking accuracy. These weaknesses hit hardest in the fine track segment of the directed energy kill chain, where tracking loops need to run above 1kHz with very narrow fields of view to keep pace with a changing atmosphere.
AFRL wants to explore 3D imaging, specifically LiDAR or coherent 3D approaches like digital holography, combined with machine-learning-based declutter and image reconstruction, to close this gap. 3D imaging offers three specific advantages the topic calls out: precise range gating that separates a target from cluttered backgrounds, range images that are inherently robust against scintillation and speckle, and the ability to correct phase aberrations caused by aero-optics and turbulence. While the immediate driver is counter-drone defense tied to a recent executive order on missile defense, the underlying technology is also relevant to ballistic, cruise, and hypersonic missile defense more broadly.
Phase I work is organized around three research directions. Basic research covers determining system-level requirements for real-time 3D imaging and tracking, evaluating available motion-compensated 3D imaging techniques and selecting one after a pros and cons analysis, and building an empirical or theoretical signal-to-noise ratio model. Applied research covers maturing 3D tracking algorithms to work across different imaging modalities, determining what specific benefit coherent 3D and 2.5D imaging provide over conventional approaches, and developing software architecture capable of real-time tracking. The Phase I deliverable is a design and hardware specification for a prototype system, plus reports on the comparative strengths and weaknesses of different 3D imaging approaches, not a working hardware prototype itself.
Phase II moves into hardware, building a processor prototype capable of interfacing with real-time closed-loop hardware for aimpoint maintenance and demonstrating it in either a scaled laboratory optical system or an outdoor test range.
Funding and Timeline
Award maximum is $300,000 with a maximum period of performance of 6 months. Proposals exceeding either figure will not be considered. The technical volume page limit is 20 pages.
DAF also provides up to $6,500 in Technical and Business Assistance funding per Phase I award, on top of the cost proposal total.
Proposals are due September 23, 2026 through DSIP. DAF anticipates evaluation and selection within roughly 90 calendar days of solicitation close.
Who Should Apply
This topic fits companies with existing expertise in coherent optical sensing, digital holography, or LiDAR-based 3D imaging, ideally with some background in adaptive optics or image reconstruction through turbulence. Companies with machine-learning-based image restoration experience have an added edge given the topic's explicit interest in combining physics-based and ML-based reconstruction methods. Because this is an STTR, the applicant also needs a research institution partner already lined up or in active discussion, ideally one with relevant optics, photonics, or computational imaging research capability, since that partnership has to be formalized before submission.
Eligibility and Compliance Notes
STTR performance of work requirements are fixed and not open to deviation requests. A minimum of 40 percent of the effort must be performed by the small business, and a minimum of 30 percent must be performed by the single partnering research institution. Only one research institution can be used to satisfy STTR eligibility, though the applicant may hold discussions with multiple qualifying institutions before choosing one.
Unlike the Phase I SBIR topics in this same release cycle, small businesses majority owned by multiple venture capital operating companies, hedge funds, or private equity funds are NOT eligible to submit applications or receive STTR awards under this BAA.
All research and development work must happen in the United States except in rare, specifically approved circumstances requiring written approval from the funding agreement officer at initial submission. Only one principal investigator can be designated per proposal, and their technical resume with publications must be included. An Allocation of Rights Agreement with the research institution partner is also required as part of the cost volume documentation.
DAF runs a foreign risk evaluation and due diligence review on every proposal under 15 U.S.C. 638(vv), covering foreign ownership, financial ties to countries of concern, and listing on federal restricted entity lists.
Frequently Asked Questions
What is the proposal deadline?
September 23, 2026, submitted electronically through DSIP.
How much funding is available?
Up to $300,000 for a Phase I award with a maximum period of performance of 6 months, plus up to $6,500 in additional Technical and Business Assistance funding.
Does this require a university or research institution partner?
Yes. As an STTR topic, the small business must partner with a single Research Institution performing at least 30 percent of the effort, while the small business performs at least 40 percent. This split cannot be waived.
Are venture capital or private equity backed companies eligible?
No. Unlike the Phase I SBIR topics released this same cycle, this STTR BAA release excludes small businesses majority owned by multiple venture capital operating companies, hedge funds, or private equity funds.
What is the primary application driving this topic?
Counter-drone defense, specifically enhancing the fine track segment of the directed energy kill chain, though the underlying technology also applies to broader missile defense against ballistic, cruise, and hypersonic threats.
Is a working hardware prototype required for Phase I?
No. Phase I deliverables are a design, algorithms, and hardware specifications for a prototype system, along with basic research findings comparing 3D imaging approaches. The physical prototype comes in Phase II.
What is the page limit for the technical volume?
20 pages.
What happens in Phase III?
Phase III involves completing the real-time computational pipeline and conducting experiments with real-time hardware and existing beam director technology, such as the Beam-Control, Targeting Resource Advanced Integration Lab, to demonstrate coherent 3D imaging as a viable DoD tracking asset for counter-drone kill chains.
