The grant will be provided through the $23 million Incubator Support initiative, an element of the Entrepreneurs' Program under the Australian government's National Innovation and Science Agenda.
"Creation of an innovation hub in Darwin will help start-up businesses in northern Australia to build their capabilities and get their products and services into international markets faster, especially into Asia," NT Assistant Minister for Industry, Innovation and Science Craig Laundy said.
"It will also help local industry and businesses, including indigenous businesses, embrace innovation, diversifying the regional economy and creating jobs in the Northern Territory.
"Incubators help to improve the prospects of Australian start-ups by providing them with access to mentors, funding, resources and business networks. They are a vital part of effective innovation ecosystems."
Applications for incubator support grants opened in September and are ongoing through the Department of Industry, Innovation and Science.