The Department of National Defence through Innovative Solutions Canada have opened a new funding challenge to develop laboratory-based flatsat platform for cybersecurity experimentation. The initiative targets the growing need for secure hybrid space networks as defence operations increasingly rely on low Earth orbit satellite (LEO) constellations.
The problem statement per the challenege:
Modern defence activities require the ability to collect, synthesize, and distribute large volumes of data from diverse sources to ensure domain awareness and effective command and control. Low Earth orbit (LEO) satellite constellations are envisioned to fulfill these requirements by enabling hybrid space networks (HSN) with high throughput, low latency, and global coverage. The HSN must be responsive across layers to transport data through different network segments and meet dynamic traffic demands. Of particular importance is HSN architectural robustness and resilience under dynamic traffic load and segment failure conditions.
This challenge focuses on the creation of a laboratory-based flatsat platform—a ground-based satellite designed to integrate critical satellite subsystems and enable controlled cybersecurity experimentation. The goal is to support the design, testing, and validation of secure satellite software and hardware architectures and cyber defense mechanisms. To support the widest range of cybersecurity experimentation, the flatsat should integrate as many and type-diverse payloads as possible, as opposed to common satellites which carry only one or two payloads (communication, remote observation, navigation, scientific measurements, weather and meteorology, any other type-specific payload or combination thereof).
The government expects to award two contracts under this challenge, creating a total potential funding of $4 million. Each selected project can receive up to $2 million for a maximum duration of 20 months.
The challenge is open to Canadian small and medium-sized businesses. To meet the eligibility threshold, applicants must be for-profit entities incorporated in Canada with 499 or fewer full-time equivalent employees. The applying business must conduct its research and development activities within the country. Half or more of the company’s wages must go to employees working in Canada, and a majority of its full-time workforce and senior executives must reside domestically.
Interested firms must submit their prototype proposals by July 2, 2026 at 14:00 Eastern time.