# USDOT Selects Ann Arbor's Derq for Safety Tests

The U.S. Department of Transportation selected Ann Arbor-based Derq and two other teams for Phase 1 of its Intersection Safety Systems initiative, which will develop and test AI-enabled prototypes to predict and mitigate intersection conflicts. USDOT is providing $5.5 million across the three teams and anticipates a further $11.5 million for Phase 2, focused on real-world intersection assessment. The funding creates an opportunity for intelligent-transportation suppliers as the initiative progresses from prototypes toward deployment.

- The $5.5 million is shared across all three teams; the signal does not specify Derq’s individual award amount. The additional $11.5 million is anticipated, not yet reported as awarded.
- Companies working in traffic sensing, vehicle-to-everything (V2X), AI safety systems, and traffic-signal integration can assess how their capabilities could support future prototype testing and real-world deployments.
- Contractors may benefit from evaluating teaming or supply opportunities around the selected teams’ intersection-safety systems as the program advances.

**Jurisdictions:** federal
**Industries:** Transportation
**Topics:** Artificial Intelligence
**Published:** November 09, 2026

### Government Entities
- U.S. Department of Transportation (USDOT)
- Texas Department of Transportation (TxDOT)
- Virginia Department of Transportation (VDOT)
- City of Houston
- City of Alexandria

### Vendors
- Derq (awardee)

### Sources
- [Ann Arbor’s Derq Awarded USDOT Contract to Demo AI-based Intersection Safety System - DBusiness Magazine](https://www.dbusiness.com/hustle-and-muscle-articles/ann-arbors-derq-awarded-usdot-contract-to-demo-ai-based-intersection-safety-system) - DBusiness Magazine