The U.S. Department of Transportation has opened its Small Business Innovation Research (SBIR) FY26 Phase I solicitation, and among its proposed research topics is one of direct relevance to our industry: Topic 26-FH1, “Edge Artificial Intelligence Vehicle-to-Everything (AI-V2X) Integrated Practical Solutions for Congestion Prevention and Mitigation,” put forward by the Federal Highway Administration (FHWA).
What the FY26 Solicitation Covers
The FY26 Phase I solicitation period is open from Wednesday, June 3, 2026, through Tuesday, July 7, 2026, at 3:00 p.m. ET. The program covers ten research topics across five DOT operating administrations, with awards expected in September 2026. Phase I funding is up to $200,000 for a six-month feasibility period, and successful Phase I recipients are eligible to compete for larger Phase II funding to develop and demonstrate their solution. Volpe National Transportation Systems Center + 3
An informational webinar will be held on Wednesday, June 10, 2026, from 1:00 to 2:00 p.m. ET; registration closes Tuesday, June 9, 2026, at 5:00 p.m. ET. Volpe National Transportation Systems Center
Topic 26-FH1: The One That Matters to Connected-Vehicle Technology
Of the ten topics in this cycle, Topic 26-FH1 is the one aligned with our field — the connected vehicle (V2X). This topic seeks an integrated system combining AI, edge/cloud computing, and V2X communication to detect, predict, and mitigate traffic congestion in real time across multiple intersections or regions.
According to the topic description, the solution should ingest diverse traffic data, generate location-specific operational guidance — such as speed advisories, lane changes, and detours — and securely deliver it to vehicles, infrastructure, and agencies. A key focus is on balancing workloads between edge and cloud systems while ensuring low latency, scalability, and secure communications.
This aligns closely with the direction of our own work in smart road traffic — the fusion of intelligent roadside infrastructure with connected vehicles to serve safer, smoother mobility.
Eligibility
The FY26 SBIR Phase I is open only to small businesses as defined under the SBA’s SBIR Policy Directive, and firms must be registered in both SAM.gov and the SBA’s SBIR Company Registry to submit.