This post addresses the new Advanced Innovation Challenges competition launched in 2026 from teh European Innovation Council. What is the AIC, who can apply and how does it work?
February 2026
Novigo Grant Funding
The Advanced Innovation Challenges (AIC) are a challenge-driven funding instrument introduced by the European Innovation Council to accelerate translation of high-risk, high-impact technologies into real-world deployment. They target innovations with strong technical foundations that remain stalled due to adoption risk, integration complexity, regulatory uncertainty, or fragmented demand.
The instrument is mission-led and programme-managed. Success depends on demonstrating relevance to the defined challenge and a credible pathway to adoption, not novelty alone.
AIC is neither Pathfinder nor Accelerator. It does not fund early scientific discovery, nor does it assume near-term scale-up readiness. Instead, it supports translation under uncertainty using stage-gated competition and demand-side validation. EIC Programme Managers curate portfolios against challenge outcomes rather than ranking proposals in isolation.
AIC funding is provided as lump-sum grants at 100% funding intensity. There is no co-funding requirement.
Stage 1 provides €300,000 for up to nine months. This phase focuses on feasibility, benchmarking against state of the art, and testing the assumptions blocking adoption. It is not intended for broad exploratory research or incremental optimisation.
Stage 2 provides up to €2.5 million for up to 2.5 years. This phase supports development and testing in real-world environments with active involvement of users, operators, or other demand-side actors. Progression is competitive and conditional on evidence generated in Stage 1.
All beneficiaries also receive tailored Business Acceleration Services, including coaching, mentoring, and ecosystem access.
The 2026 pilot includes two challenges.
Accelerating Physical AI: Embodied Intelligence focuses on AI and robotics systems operating in the physical world, integrating sensing, reasoning, and actuation beyond controlled laboratory conditions.
Translating Disruptive New Approach Methodologies into Practice targets alternatives to animal testing that face regulatory and adoption barriers despite technical maturity.
In both cases, the constraint is deployment, not invention.
Applicants do not need to be a limited company. Stage 1 applications may be submitted by a single legal entity, including startups, SMEs, universities, research organisations, teams, and individual principal investigators or inventors. Large non-SME corporates are excluded at Stage 1.
UK applicants are eligible. The United Kingdom is a Horizon Europe Associated Country, and UK-based entities may apply on the same basis as EU Member State applicants.
At Stage 2, only successful Stage 1 beneficiaries may apply, either as a mono-beneficiary or as a small consortium of up to three independent legal entities from at least two eligible countries.
For the 2026 Work Programme, the Stage 1 deadline is 26 February 2026. Stage 1 projects run for up to nine months. The indicative Stage 2 deadline is June 2027, with Stage 2 projects running for up to 2.5 years.
Advanced Innovation Challenges are highly selective and materially different from standard Horizon Europe calls. Strong applications require precise alignment with the challenge logic, credible stage-gate design, and robust demand-side positioning.
Novigo Grant Funding Consultancy supports applicants across the full AIC preparation cycle, including challenge fit analysis, Stage 1 objective design, demand-side evidence development, and assessor-aligned drafting. Early engagement materially improves positioning and reduces avoidable failure in a two-stage competition where progression is conditional.
If you are considering an AIC submission, structured preparation before writing begins is decisive.