PWSCIF NOFO 3 Final_AMENDED.pdf

NOTICE OF FUNDING OPPORTUNITY

Public Wireless Supply Chain Innovation Fund (PWSCIF) Grant Program

NOFO 3 – Software Solutions for Industry Verticals and Integration Automation

EXECUTIVE SUMMARY

A. Federal Agency Name

National Telecommunications and Information Administration (NTIA), U.S. Department of Commerce

B. Funding Opportunity Title

Public Wireless Supply Chain Innovation Fund Grant Program - Software Solutions for Industry Verticals and Integration Automation

C. Announcement Type

Amended

D. Funding Opportunity Number

NTIA-PWSCIF-24-02

E. Assistance Listing (CFDA Number)

11.038 – Public Wireless Supply Chain Innovation Fund

F. Key Dates

Complete applications must be submitted through Grants.gov no later than 11:59 p.m. Eastern Time on April 16, 2025.

NTIA expects to make awards on a rolling basis.

G. Application Submission Address

Complete application packages must be submitted electronically through the Grants.gov website. Application packages or portions thereof submitted through postal mail, courier, email, facsimile, or other means will not be accepted. See Section 4 of this NOFO for detailed information concerning application submission requirements.

H. Funding Opportunity Description

This NOFO is the third in a series that NTIA will issue and administer under the Public Wireless Supply Chain Innovation Fund (Innovation Fund). This NOFO is

PWSCIF NOFO 3 – Software Solutions for Industry Verticals and Integration Automation divided into two topic areas: Industry Vertical Solutions and Integration Automation Solutions. Throughout this document, Industry Vertical Solutions is referred to as “specific research focus area 1” (SRFA 1) and Integration Automation Solutions is referred to as “specific research focus area 2” (SRFA 2). A brief description of each SRFA follows:

• SRFA 1 (Industry Vertical Solutions): Develop software solutions that leverage data made available through Open RAN interfaces and/or capitalize on Open RAN-specific innovations, such as the RAN Intelligent Controller (RIC), to generate energy efficiencies, cost savings, productivity gains, or other value for industry verticals (e.g., utilities, mining, manufacturing, unmanned aviation).

• SRFA 2 (Integration Automation Solutions): Develop software solutions that reduce the cost and complexity of multi-vendor integration through automation.

A single application may only address one (1) SRFA. If an entity wishes to apply for funding under both SRFAs, separate applications must be submitted. Each application, however, may only contain one (1) project. Applicants may submit a maximum of three (3) applications under SRFA 1 and one (1) application under SRFA 2.

I. Funding Instrument

Grant

J. Eligibility

Eligibility varies for each SRFA. SRFA 1 eligibility is found in Section 2.2.1 and SRFA 2 eligibility is found in Section 3.2.1.

Additional eligibility requirements applicable to both SRFAs can be found in Section 6.1.

K. Anticipated Amounts

NTIA will award up to $450,000,000 under this NOFO. The amount of funding NTIA expects to award per project differs by SRFA, as follows:

• SRFA 1: NTIA expects to award $24,000,000-$50,000,000 per project.

• SRFA 2: NTIA expects to award $9,000,000-$18,000,000 per project.

L. Cost Sharing/Matching

There is a 30% minimum cost share requirement for SRFA 1 (Industry Verticals Solutions).

See Section 2.2.3 of this NOFO for more information on SRFA 1 cost share. There is a 20% minimum cost share requirement for SRFA 2 (Integration Automation Solutions). See Section 3.2.3 of this NOFO for more information on SRFA 2 cost share.

TABLE OF CONTENTS

SECTION 1 – OVERVIEW

1.1. Program Authority

1.2. Program Overview

1.3. Funding Opportunity Overview

1.3.1. NOFO Structure

1.3.2. NOFO Background

1.3.3. Available Funding

SECTION 2 – SRFA 1 – INDUSTRY VERTICALS

2.1. Overview

2.1.1. Requirements Summary

2.2. Eligibility Requirements

2.2.1. Eligible Entities

2.2.2. Anticipated Award Range

2.2.3. Cost Share

2.2.4. Period of Performance

2.2.5. Place of Performance

2.3. Technical Scope Requirements

2.3.1. Technical Maturity

2.3.2. Performance and Interoperability Requirements

2.4. Specific Application Requirements

2.4.1. Technical Proposal

2.4.2. Work Plan

2.4.3. Commercial Transition Plan

2.4.4. Product Security and Cybersecurity Management Plan

2.4.5. Letter of Partnership Intent

2.5. Merit Review Criteria

SECTION 3 – SRFA 2 – INTEGRATION AUTOMATION

3.1. Overview

3.1.1. Requirements Summary

3.2. Eligibility Requirements

3.2.1. Eligible Entities

3.2.2. Anticipated Award Range

3.2.3. Cost Share

3.2.4. Period of Performance

3.2.5. Place of Performance

3.3. Technical Scope Requirements

3.3.1. Technology Maturity

3.3.2. Performance and Interoperability Requirements

3.4. Specific Application Requirements

3.4.1. Technical Proposal

3.4.2. Work Plan

3.4.3. Commercial Transition Plan

3.4.4. Product Security and Cybersecurity Management Plan

3.4.5. Letter of Partnership Intent

3.5. Merit Review Criteria

SECTION 4 – APPLICATION AND SUBMISSION INFORMATION

4.1. Content and Form of Applications

4.1.1. Instructions for Application Documentation

4.2. Application Document Format

4.2.1. Document Format

4.2.2. Page Limits

4.3. Application Submission

4.3.1. Register to Apply through Grants.gov

4.3.2. Submit an Application for this NOFO via Grants.gov

4.3.3. Submission Dates and Times

4.3.4. Timely Receipt Requirements and Proof of Timely Submission

4.3.5. Material Revisions

4.3.6. Amendments

4.3.7. Material Representations and False Statements

4.3.8. Public Disclosure of Applications

SECTION 5 – APPLICATION REVIEW PROCESS

5.1. Review Process for Innovation Fund Program

5.1.1. Initial Administrative and Eligibility Review of Complete Applications

5.1.2. Merit Review

5.1.3. Programmatic Review

5.1.4. Selecting Official Approval

5.1.5. Grants Office Action – Federal Awarding Agency Review of Risk Posed by Applicants

5.2. Federal Award Notices

5.2.1. Notification to Unsuccessful Applicants

5.2.2. Retention of Unsuccessful Applications

SECTION 6 – GENERAL REQUIREMENTS, PROHIBITIONS, AND OTHER

INFORMATION

6.1. General Eligibility

6.1.1. Past Innovation Fund Award Recipients

6.1.2. Future Eligibility

6.1.3. Ineligible Applicants and Participants in Grant-Funded Activities

6.2. General Period of Performance Requirements

6.2.1. POP Extensions

6.2.2. Reversion of Funds

6.3. Funding Restrictions

6.3.1. Eligible Uses of Funds for the Innovation Fund Program

6.3.2. Ineligible Costs

6.4. Administrative and National Policy Requirements

6.4.1. Uniform Administrative Requirements, Cost Principles, and Audit Requirements ……………………………………………………………………………………64

6.4.2. Department of Commerce Financial Assistance General Terms and Conditions . 64

6.4.3. Pre-Award Notification Requirements

6.4.4. Property Trust Relationship and Public Notice of Filings for Grant-Acquired Property……………………………………………………………………………………..65

6.4.5. Reporting

6.4.6. Recipient Integrity and Performance Matters

6.4.7. Audit Requirements

6.4.8. Federal Funding Accountability and Transparency Act of 2006

6.4.9. Protected and Proprietary Information

6.4.10. Intellectual Property Rights, Royalties, And Restrictions

6.4.11. Funding Availability and Limitation of Liability

6.4.12. Third Party Beneficiaries

6.4.13. Environmental and Historic Preservation

6.4.14. Research Activities Involving Human Subjects, Data, or Recordings Involving Human Subjects, Including Software Testing

6.4.15. Paperwork Reduction Act

6.4.16. Transparency, Accountability, and Oversight Required

6.4.17. Contracting With Small and Minority Businesses, Women’s Business Enterprises, and Labor Surplus Area Firms

6.4.18. U.S. Department of Commerce, Office of Inspector General

6.4.19. Waiver Authority

6.4.20. Whistleblower Protection

6.4.21. Enforcement

6.4.22. Unauthorized Use of Funds

6.4.23. Federal Awarding Agency Contact(s)

Appendix A – Glossary of Terms

Section 1 – Overview

The National Telecommunications and Information Administration (NTIA) issues this Notice of Funding Opportunity (NOFO) to describe the requirements under which it will continue awarding grants in connection with the Public Wireless Supply Chain Innovation Fund (Innovation Fund).

1.1. Program Authority

The Innovation Fund is authorized by Section 9202(a)(1) of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021, Pub. L. No. 116-283, 134 Stat. 3388 (Jan. 1, 2021) (FY21 NDAA), codified at 47 U.S.C. § 906(a)(1).

The Innovation Fund is appropriated by Div. A, Section 106 of the CHIPS and Science Act of 2022, Pub. L. No. 117-167, 136 Stat. 1392 (Aug. 9, 2022).

1.2. Program Overview

The Innovation Fund aims to foster competition and innovation across the global telecommunications ecosystem, lower costs for consumers and network operators, and strengthen the 5G and successor wireless technology supply chains. The program’s objectives include unlocking opportunities for innovative companies, particularly small and medium enterprises, to compete in a market historically dominated by a few suppliers, some of which present a high security risk.

Open and interoperable wireless networks offer numerous benefits over traditional, closed networks and will lower the barriers of entry for new and emerging companies. Using open and interoperable wireless networks allows operators to procure the best solutions for their specific needs by mixing and matching network components, rather than procuring proprietary end-to-end solutions from a single supplier. Open and interoperable networks may also reduce costs for consumers and network operators by increasing competition between 5G and successor radio access network (RAN) suppliers, leading to rapid innovation and/or the potential lowering of capital expenditures and operating expenses. This increased competition will also drive innovation, leading to the development of new and improved RAN features. Ultimately, the increase in competition spurred by the shift to open networks will bolster resilience in the global telecommunications equipment market and enhance 5G and successor wireless technology supply chain security.

Pursuant to the FY21 NDAA, the Innovation Fund facilitates the adoption of open and interoperable wireless networks through the following statutory objectives:1

i. Promoting and deploying technology, including software, hardware, and microprocessing technology, that will enhance competitiveness in the 5G and successor wireless

1 This list of statutory objectives has been abridged for clarity. The verbatim list of statutory objectives can be found at 47 U.S.C. § 906(a)(1)(C).

technology supply chains that use open and interoperable interface radio access networks

(RAN).

ii. Accelerating commercial deployments of open interface, standards-based compatible, interoperable equipment.

iii. Promoting and deploying compatibility of new 5G equipment with future open standards-based, interoperable equipment.

iv. Managing integration of multi-vendor network environments.

v. Identifying objective criteria to define equipment as compliant with open standards for multi-vendor network equipment interoperability.

vi. Promoting and deploying security features enhancing the integrity and availability of equipment in multi-vendor networks.

vii. Promoting and deploying network function virtualization to facilitate multi-vendor interoperability and a more diverse vendor market.

The CHIPS and Science Act of 2022 provided critical appropriations for the Innovation Fund, investing $1.5 billion in the program.

The Innovation Fund’s first NOFO laid a foundation for the program by investing in testing and evaluation labs to expand access to Open RAN testing for new and emerging vendors.2 These activities are providing testing facilities for future NOFO awardees and fostering a robust Open RAN testing ecosystem, building confidence in the viability of Open RAN solutions and thus furthering its deployment.

The program’s second NOFO invested in the commercialization and innovation of open radio units (RUs), the key hardware component for Open RAN.3 Through these awards, NTIA aims to close the gap between open and traditional RUs in terms of cost, performance, and features, while promoting open RU competitiveness in later 5G and future 6G networks. Advancing the capabilities and cost-effectiveness of open RUs will help drive Mobile Network Operator (MNO) adoption of open RUs in upcoming equipment buying cycles.

Building upon these first two funding opportunities, NTIA’s third NOFO will invest in software solutions to further drive Open RAN adoption. Software design is a specific strength of U.S.

innovation, and NTIA hopes that this software-centric NOFO will elicit broad interest from the tech community. Through these awards, NTIA aims to identify and validate new Open RAN-enabled revenue streams, while reducing the cost and complexity of multi-vendor integration.

These efforts will help expand market opportunities for suppliers and operators, in turn facilitating Open RAN adoption in upcoming equipment buying cycles and beyond. As such, this NOFO marks a key step in advancing the adoption of open and interoperable wireless networks in line with Innovation Fund program goals, as detailed in the FY21 NDAA.

1.3. Funding Opportunity Overview

NTIA will support two (2) specific research focus areas (SRFAs) under this NOFO:

2 See NTIA, Notice of Funding Opportunity, “Research and Development, Testing and Evaluation” 3 See NTIA, Notice of Funding Opportunity, “Open Radio Commercialization and Innovation” https://www.ntia.gov/program/innovation-fund/grant-programs/round-1-2023/program-documentation/nofo-1 https://www.ntia.gov/program/innovation-fund/grant-programs/round-2-2024/program-documentation/nofo-2

• SRFA 1 (Industry Verticals Solutions): Develop software solutions that leverage data made available through Open RAN interfaces and/or that capitalize on Open RAN-specific innovations, such as the RAN Intelligent Controller (RIC), to generate energy efficiencies, cost savings, productivity gains, or other value for industry verticals (e.g., utilities, mining, manufacturing, unmanned aviation).

• SRFA 2 (Integration Automation Solutions): Develop software solutions that reduce the cost and complexity of multi-vendor integration through automation.

These activities aim to address the complex technical and market challenges hindering Open RAN adoption to better facilitate commercialization. Like NTIA’s first and second funding opportunities, this NOFO is responsive to feedback received during NTIA’s listening sessions4 and the Request for Comment (RFC)5 period and is informed by ongoing market analysis. NTIA plans to publish an additional NOFO that builds upon this work, as well as insights from future engagement sessions and NTIA’s forthcoming Innovation Fund Federal Advisory Committee.6

1.3.1. NOFO Structure

This NOFO is organized as follows:

Section 1 (Overview) provides an overview of the Innovation Fund and the focus of this NOFO: Industry Verticals Solutions and Integration Automation Solutions.

It then provides background information as to how this NOFO meets the statutory objectives of the Innovation Fund.

Section 2 (Specific Research Focus Area 1 – Industry Verticals Solutions) provides the objectives and SRFA-specific requirements for SRFA 1.

Section 3 (Specific Research Focus Area 2 – Integration Automation Solutions) provides the objectives and SRFA-specific requirements for SRFA 2.

Section 4 (Application and Submission Information) explains the application submission process that all applicants must follow and information that all applicants must provide in their application package, regardless of SRFA. This includes application format, instructions for electronic filing, revision process, and other submission requirements.

4See video recordings of NTIA’s first and second listening sessions are available on the NTIA.Gov YouTube channel.

5See 87 Fed. Reg. 76182, Public Wireless Supply Chain Innovation Fund Implementation Notice and Request for Comment (December 13, 2022); RFC responses are available on the NTIA website.

6See 47 U.S.C. § 906(a)(1)(F). NTIA is required to establish a federal advisory committee to help inform (i) the strategic direction of the Innovation Fund, and (ii) efforts of the Federal Government to promote a more secure, diverse, sustainable, and competitive supply chain. Creation of the advisory committee is forthcoming as of the publication date of this NOFO.

https://www.youtube.com/watch?v=5iJF_CeDvSg https://www.youtube.com/watch?v=5iJF_CeDvSg https://www.federalregister.gov/documents/2022/12/13/2022-26938/public-wireless-supply-chain-innovation-fund-implementation https://www.federalregister.gov/documents/2022/12/13/2022-26938/public-wireless-supply-chain-innovation-fund-implementation https://www.ntia.gov/federal-register-notice/2023/responses-innovation-fund-request-comments

Section 5 (Review Process) explains each step of application review: Initial, Merit, Programmatic, and Selecting Official Approval. It also includes projected dates for awards and information on the applicant notification process.

Section 6 (General Requirements, Prohibitions, and Other Information) offers information related to ineligible entities, allowable costs, intellectual property, awarding agency contact information, and other information. NOTE:

The requirements and prohibitions in this section apply to ALL submitted applications, regardless of SRFA.

1.3.2. NOFO Background

This NOFO builds upon the previous two funding opportunities by investing in software solutions that leverage the unique programmable nature of Open RAN architecture to support the long-term business case for Open RAN suppliers and operators. SRFA 1 solutions will advance new market use cases for end-user deployment, while SRFA 2 solutions will reduce the cost and complexity of multi-vendor component integration.

Specific Research Focus Area 1 – Industry Vertical Solutions

Currently, operators face growing network demands, intense capital expenditure (CAPEX) pressure, and flat-to-decreasing revenues. As a result, many operators are hesitant to invest in new technology, such as Open RAN, without a clear path to revenue generation and cost savings (e.g., lower operating costs and efficiency gains). Networks generate valuable data that could potentially be monetized in different capacities. In a full-stack, closed architecture, this data is typically controlled by the RAN vendors and is not directly accessible to operators or third parties. Open RAN, on the other hand, has unique features (e.g., RAN Intelligent Controller, O1 interface, E2 interface, Service Management and Orchestration) that provide higher visibility into and control of the network and its associated network data.7

Access to this data can allow network operators and third parties to build software solutions for industry verticals more efficiently with Open RAN than with full-stack, closed architectures. For example, a third-party software developer could more efficiently build a solution that leverages network data to improve a retail company’s inventory management. The majority of speakers at the Innovation Fund’s second listening session voiced a need for enterprise solutions to grow the Open RAN market. SRFA 1 aims to address this need.

In SRFA 1, NTIA will fund solutions that utilize Open RAN’s unique features to provide value, such as productivity gains and cost reductions, to industry verticals. In other words, SRFA 1 will support solutions that commercialize data or other network features made accessible through Open RAN interfaces. For example, a successful application might propose a solution similar to the following:

7 See O-RAN Alliance architecture specifications at https://www.o-ran.org/specifications for complete definitions of RAN Intelligent Controller (RIC), O1 interface, E2 interface, and Service Management and Orchestration (SMO).

https://www.o-ran.org/specifications

• A utility solution that uses real-time network data collected via sensors to allocate resources to high priority traffic during emergencies.

• A connected smart agriculture solution that uses network data, user equipment, and specialized monitoring devices, such as Unmanned Aircraft System (UAS), to monitor crop yields.

• A telecom solution that leverages network data and Artificial Intelligence (AI) capabilities via the RAN Intelligent Controller (RIC) and xApps (near real-time)/rApps (non-real-time) to optimize network operations, leading to improved performance and lower costs.

To successfully develop and pilot a solution for an industry vertical, a project must fulfill three different functions.

1) First, the project must include the design and integration of a software solution across a network, leveraging Open RAN components to access new or previously untapped sources of data or unique Open RAN innovations, such as the RIC.

2) Second, the project must include vertical-specific expertise and requirements related to the use case the solution will address, ensuring the solution meets the business needs of a potential customer.

3) Third, there must be a network available for deploying the solution during the pilot phase, with the potential for expansion into additional networks after the period of performance.

SRFA 1 requires an applicant to partner with one or more entities to ensure all three of these functions are fulfilled. For example, a system integrator serving as the applicant could partner with a utility company for vertical-specific expertise and a carrier for network deployment and integration. The system integrator could also partner with a utility and a private network operator, or with a utility that operates its own private network using Citizens Broadband Radio Service (CBRS) spectrum. Collaboration across the value chain is critical to expanding market opportunities for Open RAN suppliers and operators.

A successful SRFA 1 project will accomplish the following goals:

1) Develop and integrate a solution that utilizes data or other network features made available by Open RAN components to provide value to an end-customer in a vertical industry; and

2) Conduct a pilot in a field environment on a network utilizing Open RAN to demonstrate the solution’s technical and market viability, ensuring it effectively addresses the target vertical use case.

Specific Research Focus Area 2 – Integration Automation Solutions

SRFA 2 seeks to fund solutions that significantly reduce the cost and time required to integrate multi-vendor networks. While open and interoperable networks allow operators to procure the best solutions for their specific needs by mixing and matching network components, incorporating multiple vendors adds complexity to network integration and life cycle management. This complexity typically increases the cost of integration relative to full stack architectures and complicates RAN component performance monitoring.

Industry stakeholders have highlighted a need for multi-vendor solutions to address this challenge.8 SRFA 2 aims to develop such solutions.

NTIA will invest in solutions that reduce the cost and complexity of initial multi-vendor network integration and life cycle management by automating processes currently requiring manual input. With automation, operators can set up, interconnect, test, and operate most parts of the network without the need to manually code and configure each component. Automation will help enable rapid, cost-effective Open RAN integration, making adoption more attractive and speeding Open RAN product integration into new and existing networks. Ultimately, through these grants, NTIA aims to accelerate the adoption of open and interoperable networks and increase supply chain diversity in line with the Innovation Fund’s statutory objectives.9 To ensure SRFA 2 solutions are truly capable of multi-vendor integration, applicants are required to partner with at least (3) three different Open RAN vendors.10

A successful SRFA 2 project will accomplish the following goals:

1. Develop a solution that automates the process of integrating network elements from multiple vendors, such that the need for manual input is reduced or eliminated; and

2. Test the solution in a lab and/or field environment to demonstrate the technical and market viability of the solution, i.e., that it successfully reduces the cost and complexity of multi-vendor integration.

Alignment with Statutory Objectives

Developing multi-vendor solutions for industry vertical solutions (SRFA 1) and integration automation solutions (SRFA 2) will help achieve the following statutory objectives of the Innovation Fund:

i. Enhance Supply Chain Competitiveness: Successful SRFA 1 and SRFA 2 projects will enhance competitiveness in the 5G and successor wireless

8 Seventy-six percent (76%) of RFC respondents who directly addressed integration cited the need for investment in multi-vendor solutions.

9 See 47 U.S.C. § 906 statutory objectives (ii) and (iv): (ii) Accelerating commercial deployments of open interface standards-based compatible, interoperable equipment, such as equipment developed pursuant to the standards set forth by organizations such as the O-RAN Alliance, the Telecom Infra Project, 3GPP, the Open-RAN Software Community, or any successor organizations; (iv) Managing integration of multi-vendor network environments.

10 Typically, two vendors interoperate, with a main supplier and a backup supplier providing specific components.

However, a three-vendor minimum facilitates true interoperability, as it requires a network to shift its current operating model to be more open to other vendors.

technology supply chains by driving demand for Open RAN and reducing the cost of integration.11

ii. Accelerate Commercial Deployments: Successful SRFA 1 and SRFA 2 projects will accelerate commercial deployments of open interface, standards-based compatible, interoperable equipment by driving demand for this equipment and making integration easier and less costly. Moreover, requiring SRFA 1 and SRFA 2 applicants to demonstrate a commercialization plan for their solutions establishes a more efficient path to mass deployment.12

iii. Promote Forward Compatibility of Equipment: Solutions (and associated subsystems) developed under this NOFO must employ unique attributes of Open RAN architecture (i.e., open interfaces).13

iv. Manage Network Integration: Successful SRFA 2 (Integration Automation

Solutions) projects will reduce the cost and complexity of multi-vendor integration.14

v. Standards Compliance: The minimal network configurations to support solutions developed under this NOFO must be compliant with 3GPP and O-RAN Alliance specifications.15

vi. Enhance Security: Given the impact on future critical infrastructure information technology (IT) and operational technology (OT), all SRFA 1 and SRFA 2 recipients and sub-recipients must integrate cybersecurity into the design, development, operation, and maintenance of solutions (security by design), consistent with best practices and standards.16

vii. Promote Network Virtualization: Open RAN virtualization allows for greater flexibility in the development of software solutions.17

11 See 47 U.S.C. § 906 statutory objective (i): (i) Promoting and deploying technology, including software, hardware, and microprocessing technology, that will enhance competitiveness in the fifth-generation (commonly known as ‘‘5G’’) and successor wireless technology supply chains that use open and interoperable interface radio access networks.

12 See 47 U.S.C. § 906 statutory objective (ii): (ii) Accelerating commercial deployments of open interface standards-based compatible, interoperable equipment, such as equipment developed pursuant to the standards set forth by organizations such as the O-RAN Alliance, the Telecom Infra Project, 3GPP, the Open-RAN Software Community, or any successor organizations.

13 See 47 U.S.C. § 906 statutory objective (iii): (iii) Promoting and deploying compatibility of new 5G equipment with future open standards-based, interoperable equipment.

14 See 47 U.S.C. § 906 statutory objective (iv): (iv) Managing integration of multi-vendor network environments.

15 See 47 U.S.C. § 906 statutory objective (v): (v) Identifying objective criteria to define equipment as compliant with open standards for multi-vendor network equipment interoperability.

16 See 47 U.S.C. § 906 statutory objective (vi): (vi) Promoting and deploying security features enhancing the integrity and availability of equipment in multi-vendor networks.

17 See 47 U.S.C. § 906 statutory objective (vii): (vii) Promoting and deploying network function virtualization to facilitate multi-vendor interoperability and a more diverse vendor market.

Public Input Received

NTIA’s Innovation Fund RFC highlighted the need to invest in “real world” field trials for specific use cases or sectors to confirm the commercial opportunity of Open RAN solutions. Moreover, participants in NTIA’s second Innovation Fund listening session cited the complexity of multi-vendor integration and the limited number of buyers as key barriers to Open RAN adoption. Participants encouraged the program to promote automation and address industry use cases.18

Technical Maturity Level

Projects funded under this NOFO must meet certain technical maturity criteria upon entering and exiting the period of performance (POP). At a minimum, SRFA 1 and SRFA 2 projects shall begin the POP with defined functional requirements.

By the end of the POP, SRFA 1 and SRFA 2 projects shall, at a minimum, have a working prototype, as defined in Appendix A. This prototype should represent an initial product version that has undergone testing to evaluate its functionality, effectiveness, and commercial viability. Projects may exit at a higher maturity.

These criteria will facilitate investments that support the promotion and deployment of Open RAN technologies in alignment with statutory objectives (i), (ii), and (vii).19 NTIA will not fund proposals that do not meet the desired maturity criteria (e.g., products that are already widely deployed, proposals too speculative to be commercially feasible, or basic research that is outside the scope of this statutory authority). See Section 2.3.1 and Section 3.3.1 for more information regarding the SRFA 1 and SRFA 2 technical maturity criteria, respectively.

Open-source Software

NTIA encourages, but does not require, the use or development of open-source software in the solutions developed under this NOFO.

Place of Performance

NTIA recognizes that for the Innovation Fund to be successful in meeting statutory objectives, global commercial adoption is necessary. As such, NTIA is allowing applicants flexibility to perform project activities in the United States (U.S.), or overseas, excluding covered nations that pose national security concerns as described in Section

6.1.3 and defined in Appendix A - Glossary of Terms (see “Covered Nation”).

In Merit Review, NTIA will evaluate the degree to which an application contributes to the economic security of the U.S., such as through job creation, work done in the U.S., 18 See video recording of NTIA’s September 2024 listening session on the NTIA.Gov YouTube channel.

19 See footnotes 11, 12 and 17 of this NOFO.

https://www.ntia.gov/events-and-meetings/public-wireless-supply-chain-innovation-fund-listening-session-2 inclusion of U.S. partners, post-Period of Performance commercial plans, and support for U.S. innovation in software development (see Section 2.5 and Section 3.5 respectively).

Maximum Number of Applications per Applicant

A single application may only address one (1) SRFA and may only contain one (1) project. Applicants may submit a maximum of three (3) applications under SRFA 1 and one (1) application under SRFA 2. This helps NTIA efficiently review applications and encourages entities to submit high-quality applications.

Period of Performance (POP)

The POP also varies by SRFA. The POP of SRFA 1 is expected to be 18-36 months. The POP of SRFA 2 is expected to be 12-18 months.

1.3.3. Available Funding

NTIA may award up to $450,000,000 in total funding under this NOFO.

1.3.3.1. Anticipated Award Amounts

The amount of funding anticipated for individual awards varies by SRFA, as follows:

SRFA Federal Funding Range (per award) 1 – Industry Vertical Solutions $24,000,000-$50,000,000

2 – Integration Automation Solutions $9,000,000-$18,000,000

The award amount ranges for each SRFA are not mandatory minimums or maximums. Applicants requesting funding amounts outside the anticipated SRFA award ranges must provide a reasonable explanation for the variance; however, applicants may not request more than $50,000,000 per SRFA (see Section 1.3.3.2 regarding statutory limitation on award amounts). Relative cost effectiveness will be considered in the Selecting Official criteria (see Section 5.1.4).

1.3.3.2. Statutory Limitation on Award Amounts

In accordance with 47 U.S.C. 906(a)(1)(B)(ii), the cumulative amount of federal funding awarded to a single awardee for a single SRFA may not exceed $50,000,000.

Applications requesting more than $50,000,000 in federal funding for a single SRFA will be disqualified.

There is no statutory limitation on the amount of cost share provided by an applicant.

Applications with a total project cost exceeding $50,000,000, but that request less than $50,000,000 in federal funding remain eligible.

1.3.3.3. Cost Share

Cost sharing is mandatory for both SRFAs. SRFA 1 applicants must include a minimum cost share of 30% of the total project cost (i.e., the combined total of the federal share and non-federal share of costs). See Section 2.2.3 of this NOFO for more information on SRFA 1 cost share.

SRFA 2 applicants must include a minimum cost share of 20% of the total project cost (i.e., the combined total of the federal share and non-federal share of costs). See Section 3.2.3 of this NOFO for more information on SRFA 2 cost share.

Section 2 – SRFA 1 – Industry Verticals Solutions

2.1. Overview

The Innovation Fund aims to facilitate the adoption of open and interoperable wireless networks. NTIA seeks to achieve this by investing in projects that drive demand for Open RAN equipment, including enabling network operators to commercialize data captured through Open RAN equipment. For example, in full stack, closed deployments, operators and third parties typically do not have direct access to valuable network data, making such data difficult to commercialize. Open RAN deployments, on the other hand, have unique features (e.g. RIC, O1 interface, E2 interface, SMO) that enable operators and third parties to more easily access network data, such as low-level radio parameters and network scheduling metrics, which they can then commercialize. Unique features, such as the RIC, can also drive efficiencies for end customers by optimizing RAN functions.

However, efforts to commercialize data from Open RAN deployments are still nascent. SRFA 1 aims to advance commercialization by investing in software solutions that leverage benefits from Open RAN interfaces – in turn providing value to industry verticals.20 To this end, applicants must develop a multi-vendor prototype and demonstrate its technical and commercial viability in a field environment.

2.1.1. Requirements Summary

Description Requirement Eligible Entities Any entity capable of developing, integrating and commercially selling and/or deploying software solutions that leverage data and/or features made accessible through Open RAN interfaces for vertical industry customers is eligible. The applicant must partner with at least one entity. The applicant and partners collectively must be capable of fulfilling the software, vertical, and network functions. Either the applicant or at least one partner must hold Ultimate Beneficial Ownership (UBO) in the U.S. (See Section 2.2.1 for additional requirements).

Anticipated Award Range $24,000,000-$50,000,000 Cost Share Minimum 30% of total project cost.

Place of Performance Activities involving or occurring within an entity described in Section 6.1.3 are not permitted. Otherwise, there are no specific place of performance requirements. However, 20 See O-RAN Alliance, O-RAN Empowering Vertical Industry: Scenarios, Solutions and Best Practice, December 2023, pgs. 6-14 for a non-exhaustive list of examples of vertical industry use cases and opportunities enabled by Open RAN.

https://mediastorage.o-ran.org/white-papers/O-RAN.WG1.Vertical-Industry-White-Paper-2023-12.pdf an application’s benefit to U.S. economic security (including work conducted in the U.S.)

will be evaluated in Merit Review.

Anticipated Period of Performance

18-36 months

Minimum Technical Maturity for Entry

Have defined functional requirements for the proposed project.

Minimum Technical Maturity for Exit

Achieve a working prototype that serves as an initial version of the funded product and has undergone testing to evaluate its functionality, effectiveness, and commercial viability.

Applicants should consider a solution’s adaptability in the long-term, such that it is not overengineered for a single industry vertical.

2.2. Eligibility Requirements

2.2.1. Eligible Entities

SRFA 1 applicants must meet the following requirements:

a) The applicant must be capable of developing, integrating, and commercially selling and/or deploying software solutions that leverage data and/or features made accessible through Open RAN interfaces for use by vertical industry customers. This capability must be demonstrated in application materials.

b) The applicant must partner with at least one entity to facilitate collaboration across the value chain. This collaboration is critical to expanding market opportunities for Open RAN suppliers and operators.

c) The applicant and their partner(s) must collectively be capable of fulfilling the three functions described below (also see Section 1.3.2). This capability must be demonstrated in application materials.

• Software Function: The project must include the design and integration of a software solution across a network, leveraging Open RAN components to access new or previously untapped sources of data or unique Open RAN innovations, such as the RIC.

• Vertical Function: The project must include vertical-specific expertise and requirements (i.e., for the use case that the solution will address) to ensure the solution meets the business needs of a potential customer.

• Network Function: The project must include a network in which the solution can be deployed to demonstrate its technical and commercial viability, with the potential for expansion into additional networks after the period of performance.

d) The applicant and partner(s) can be based in the U.S. or abroad. However, either the applicant or at least one partner must hold Ultimate Beneficial Ownership (UBO) in the U.S., its territories, and possessions. UBO will be validated by the SAM Registration or SF-328 of each party. If neither the applicant nor any partners meet the UBO requirement, the application will be disqualified.

Eligible entities may submit no more than three (3) applications under this SRFA proposing no more than one (1) project per application.

2.2.2. Anticipated Award Range

NTIA anticipates awards under SRFA 1 will range between $24,000,000-$50,000,000.

Federal funding requests below $24,000,000 may be considered, but the application must include a reasonable explanation for why the request falls below the anticipated award range. Applications with federal funding requests over $50,000,000 will be disqualified, as there is a $50,000,000 statutory limit on federal funding under each SRFA.

2.2.3. Cost Share

Applicants should structure the finances of their projects in a way that maximizes private sector contributions and minimizes the need for government incentives. NTIA will evaluate the degree to which an applicant, through its funding request, leverages private investment, cash and in-kind contributions, and other sources of funding as a means of demonstrating its commitment to project success. NTIA expects that both the applicant and partner(s) will commit project resources.

To ensure the efficient use of taxpayer dollars, SRFA 1 applicants must provide a minimum of 30% of the total project cost as cost share. This can include cash or in-kind contributions. All contributions to cost share must meet the requirements in 2 C.F.R. §

200.30621 and other allowable cost requirements of this NOFO.

Cost share percentage will be calculated based on information provided in the SF-424, Section 18, as follows:

• All non-federal sources of funding will be summed (18b through 18e).

• Cost share percentage will be calculated by dividing the non-federal funding by the total project cost (18g).

• Calculated cost share percentage will be rounded down to the nearest integer value (e.g., a cost share of 35.8% will be rounded down to 35%).

SRFA 1 applications that do not include the minimum 30% cost share, as calculated above, will be disqualified. Applicants should not rely on funding from this NOFO to

21 2 CFR § 200.306.

https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200/subpart-D/section-200.306 https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200/subpart-D/section-200.306 displace private capital or enable outsized returns relative to commercially reasonable expectations for similar projects.

2.2.4. Period of Performance

The POP of SRFA 1 awards is expected to be 18-36 months. The POP may be fewer than 18 months but shall not exceed 36 months from the date of award.

While extensions are possible under this NOFO (see Section 6.2.1), the application will be assessed for risk of exceeding the mandated POP. Per Department of Commerce policy, the POP, inclusive of all extensions, shall not exceed five (5) years.22

2.2.5. Place of Performance

Activities involving or occurring within an entity described in Section 6.1.3 are not permitted under any circumstances. Otherwise, there are no specific place of performance requirements. However, NTIA will evaluate an application’s contribution to U.S.

economic security, including work conducted in the U.S., in Merit Review (see Section 2.5).

2.3. Technical Scope Requirements

2.3.1. Technical Maturity

At a minimum, SRFA 1 projects shall begin the POP with defined functional requirements for their proposed project. For example, a project could begin with documentation detailing the performance and feature requirements that are integrated into a hardware platform. A project could also begin with software plans that include sub-systems with features/functions for a solution that can scale to multiple hardware endpoints during production (e.g., vehicles).

At a minimum, SRFA 1 projects shall exit the POP with a working prototype that serves as an initial version of the funded product and has undergone testing to evaluate its functionality, effectiveness, and commercial viability. Applicants should consider a solution’s adaptability in the long-term, such that it is not overengineered for a single industry vertical.

For example, a project could exit the POP with a working prototype for a connected automotive solution featuring non-specialized sensors and endpoints bolted to a vehicle that are not yet ready for mass production (i.e., producing a fully integrated connected vehicle that is not ready to be produced at scale). This working prototype could include software with pre-production code and may require manual data pulls (or other steps) for functionality before the fully-tested and commercially-viable solution is ready for licensing and production.

22 See U.S. Department of Commerce, Federal Financial Assistance Manual (October 1, 2024), Section 9.I.2.a.1.

https://www.commerce.gov/sites/default/files/2024-09/Department%20of%20Commerce%20Federal%20Financial%20Assistance%20Manual%202024-vF.pdf

NTIA may fund compelling projects that advance the solution beyond a working prototype, up to and including initial commercial deployment. For example, a project may include activities to further develop the solution to a point where it is fully stable and to test and integrate the solution in a customer’s network.

2.3.2. Performance and Interoperability Requirements

The application shall identify and include all performance and operational requirements, including the key performance indicators (KPIs) that will be used to measure the effectiveness of the project.

The minimal 5G Open RAN network configuration to support the proposed solution shall, at a minimum, be compliant with 3GPP 5G NR Release 16 specifications and the latest releases of the O-RAN Alliance specifications per the July 2024 Specification Train (Release 4), as applicable to the proposed solution and prototype.23 If an applicant chooses to use a later 3GPP 5G NR release or O-RAN Alliance specification, it should be documented in the Technical Proposal.

2.4. Specific Application Requirements

This section describes the application document requirements unique to SRFA 1. A comprehensive list of required application materials can be found in Section 4.1.

2.4.1. Technical Proposal

Note: Technical Proposals must not exceed 20 pages in length (excluding cover page and references).

This section describes the specific content that applicants must include in their Technical Proposals for SRFA 1. Technical Proposals that do not include one or more of the elements listed below may not move forward to Merit Review and may not be considered for award.

The Technical Proposal shall include the following content:

a) Executive Summary (max 1 page)

Provide a short executive summary of the proposed project. It is important that the executive summary focuses only on salient aspects of the broader Technical Proposal, as the executive summary will be considered during the initial scope

23 See O-RAN Alliance specifications at https://specifications.o-ran.org/specifications. Examples of specifications that could apply to solutions developed under this NOFO include but are not limited to the O-RAN Fronthaul Interoperability Test Specification (IOT) 12.0 (O-RAN.WG4.IOT.0-R004-v12.00), O-RAN Conformance Test Specification 11.0 (O-RAN.WG4.CONF.0-R004-v11.00), O-RAN Stack Interoperability Test Specification 11.0 (O- RAN.WG8.IOT.0-R004-v11.00), and O-RAN End-to-end Test Specification 6.0 (O-RAN.TIFG.E2E-Test.0-R003-v06.00).

https://specifications.o-ran.org/specifications review. If the executive summary does not demonstrate that the proposed project falls within the scope of SRFA 1, as described in this NOFO, the project may be removed from further consideration.

If the project is selected for funding, the executive summary may be used by NTIA in award announcement materials and posted on the public NTIA.gov website. Therefore, applicants should ensure that no proprietary or business confidential information is included in the executive summary.

b) Technical Objectives

Describe in detail the technical objective of the project including, at a minimum, the following information:

• The technical requirements of the proposed solution necessary to support the relevant business applications and services, and the elements, features, and/or interfaces of the Open RAN architecture employed by the solution.

• The architecture of the solution, including the network configuration (logical and physical) and the required network performance parameters to support the solution (e.g., capacity, throughput, coverage, latency).

• How the performance and interoperability requirements in Section 2.3.2 will be addressed.

• Definition of the vertical-specific End Points to be controlled/deployed by the solution, including their source, form factor, availability, and integration into the network.

• Description of how the prototype demonstration meets the following requirements:

o Environment: The prototype must be demonstrated in a field environment that is the same as or very similar to the projected commercial deployments (e.g., farm, factory, medical campus).

o 5G Open RAN Network: The prototype demonstration must use over-the-air transmissions via a multi-vendor 5G Open RAN network.

o Scale: The pilot must demonstrate the prototype’s applicability to more customers in the industry vertical beyond the initial partner.

NTIA encourages applicants to demonstrate the prototype’s adaptability to other industry verticals as well.

o End Points: The prototype demonstration must employ End Points that are highly representative of the user equipment (UE) expected in the commercial deployments.

o Data Collection: Quantitative and qualitative data points collected from the prototype demonstration must confirm operational and business targets. SRFA 1 targets should demonstrate the solution’s capability to create value (i.e., efficiencies) for one or more industry use case(s).

• Detailed plans for the prototype demonstration, including, but not limited to, location (with maps and other depictions necessary to fully describe the environment), architecture (physical and logical), equipment and vendor(s), interfaces, projected coverage, methods of testing, and success criteria.

• Specification of the frequency ranges, power levels, channel bandwidth(s), carrier aggregation supported (if any), multiplexing method, and multiple input, multiple output (MIMO) configuration of the prototype demonstration, as applicable.

• Description of the relevance, scale, and representation of the prototype demonstration relative to the industry vertical and its applicability to the Commercial Transition Plan (see Section 2.4.3).

c) Work Plan Summary

While a separate, detailed work plan is required (see Section 2.4.2), the Technical Proposal must include a summary of the work plan that ensures reviewers can understand the scope of work proposed by the applicant, including major milestones and deliverables.

d) Qualification of Applicant and Unique Aspects of Proposal

Explain how the applicant is qualified to develop, integrate, and commercially sell and/or deploy software solutions that leverage data and/or features made accessible through Open RAN interfaces to provide value to industry verticals.

Provide examples of past success of relevant products.