The DARPA Grand Challenge is a prize competition for American autonomous vehicles, funded by the Defense Advanced Research Projects Agency, the most prominent research organization of the United States Department of Defense. Congress has authorized DARPA to award cash prizes to further DARPA's mission to sponsor revolutionary, high-payoff research that bridges the gap between fundamental discoveries and military use. The initial DARPA Grand Challenge was created to spur the development of technologies needed to create the first fully autonomous ground vehicles capable of completing a substantial off-road course within a limited time. The third event, the DARPA Urban Challenge extended the initial Challenge to autonomous operation in a mock urban environment. The most recent Challenge, the 2012 DARPA Robotics Challenge, focused on autonomous emergency-maintenance robots.
Fully autonomous vehicles have been an international pursuit for many years, from endeavors in Japan (starting in 1977), Germany (Ernst Dickmanns and VaMP), Italy (the ARGO Project), the European Union (EUREKA Prometheus Project), the United States of America, and other countries.
The Grand Challenge was the first long distance competition for driverless cars in the world; other research efforts in the field of Driverless cars take a more traditional commercial or academic approach. The U.S. Congress authorized DARPA to offer prize money ($1 million) for the first Grand Challenge to facilitate robotic development, with the ultimate goal of making one-third of ground military forces autonomous by 2015. Following the 2004 event, Dr. Tony Tether, the director of DARPA, announced that the prize money had been increased to $2 million for the next event, which was claimed on October 9, 2005. The first, second and third places in the 2007 Urban Challenge received $2 million, $1 million, and $500,000, respectively.