How Technology and Innovation are Transforming Canada

Canada is already a key player on the global stage when it comes to technology and innovation. Major financial institutions and consulting firms, such as TD Bank, Royal Bank of Canada, MNP, Deloitte, and PricewaterhouseCoopers (PWC), have noted that Canada has been a leader in science and technology for decades. Investment in technology is abundant as both the private sector and the government aim to capitalize on Canada's latest boom – big data.

Big data has the potential to transform the country's economy in areas such as e-commerce, industry, healthcare, and environmental sustainability. The key to unlocking the potential of big data lies in the capabilities of fiber-optic networks that serve the government and businesses in Canada, seamless access to hyperscale data centers, and an abundance of cost-effective renewable energy sources. Let's look at three ways new technologies are transforming innovation and economic growth, creating a better future for Canadians.

Advancing Trade, Research, and Innovation with Artificial Intelligence (AI) and the Internet of Things (IoT)

Here's a fun fact: artificial intelligence (AI) owes a lot to Canadians. When AI and deep learning were still considered science fiction, three computer scientists from the Canadian Institute for Advanced Research (CIFAR) in Toronto refused to give up on their research related to neural networks and deep learning. Thanks to them, consumers now enjoy deep learning features built into applications like Google Photos and Facebook Moments.

Since the 1990s, Canada has been a hub for AI research. Starting in 2018, Canada funded its Global Innovation Clusters, one of which specifically focuses on AI research and innovation. Scale AI, a supercluster aimed at using AI to build intelligent supply chains across various industries (such as retail, manufacturing, transportation, infrastructure, and information and communication technologies), received up to USD 355 million in funding from the federal government. In its 2022 budget, Canada pledged USD 750 million to all global innovation clusters until 2028, meaning more funds will soon be directed to Scale AI. However, it's not just the government investing in AI.

From e-commerce to medical technologies, the private sector is also heavily investing in AI and IoT. For instance, Snapcommerce, based in Toronto, uses AI to help consumers save money when shopping on their phones. Another example is Peytec, an engineering firm in Markham that uses AI-powered software to integrate IoT sensors that provide real-time analytics and alerts.

In healthcare, biotech companies like AbCellera Biologics in Vancouver are increasingly using AI to discover and develop therapeutic antibodies. Their innovations have led to a partnership with Moderna to discover antibodies for mRNA-based drugs. In many ways, AI will positively impact our lives for years to come.

Boosting Manufacturing and Sustainability with AI, Robotics, and Machine Learning (ML)

The manufacturing sector accounts for about 11% of Canada's GDP and employs 1.7 million Canadians. Traditionally, Ontario has been the manufacturing hub of Canada, accounting for 47% of Canadian industrial sales and producing 59% of all vehicles in the country. The 2008 recession cost Ontario nearly 250,000 manufacturing jobs. However, between 2010 and 2019, industrial production measured by GDP grew by 16% in the province. With one in ten Ontario residents working in manufacturing, technology and innovation have provided a way out of the dark days of the recession. Now, 50% of factory jobs created in the province since 2010 are in advanced manufacturing.

Through the Advanced Manufacturing Supercluster, the federal government invested USD 250 million in next-generation manufacturing capabilities related to advanced robotics, machine learning (ML), and 3D printing. These investments are paying off: a 2020 report by the International Federation of Robotics states that Canada's industrial robot density is above average – 165 units per 10,000 employees compared to the average of 113 units.

Robotics, AI, and ML are being applied beyond manufacturing, from British Columbia's logging and shipbuilding industries to Quebec's aerospace sector. Environmental sustainability is a key component of building a better future for Canadians. For example, Alberta's oil and gas industry is beginning to benefit from AI, ML, and analytics to develop more efficient resource recovery methods, reduce environmental impact, enhance safety, and minimize the need for site visits. On Canadian farms, robotic harvesters can use these technologies to help farmers harvest crops at optimal times, reducing agricultural costs and increasing food safety and disease protection. Fleet managers also benefit from the efficiency and cost-effectiveness of ML. For instance, Hamilton-based Preteckt developed ML-based preventive maintenance software that helps keep trucks on the road, ensuring smooth supply chain operations. Everywhere you look, new technologies are changing Canada and creating new opportunities for economic growth.

Enhancing Mobility and Media with AI

Canada is also at the forefront of new mobile technologies that will open doors to revolutionary digital opportunities for businesses and consumers. The Canadian (and international) telecommunications industry is currently focused on the widespread deployment of 5G networks, which will offer higher speeds, lower latency, and better bandwidth than current 4G networks. According to Accenture, Canadian wireless operators are set to spend about USD 26 billion on deploying 5G networks in addition to the billions already spent on spectrum auctions. The government also continues to support 5G deployment across Canada, recently announcing plans to repurpose the 3800 MHz spectrum band to support 5G services.

Despite the ongoing large-scale deployment of 5G networks, Canadian businesses and academic institutions are already working on the transition to the next generation of mobile networks – 6G. While 5G has enabled innovative applications involving the Internet of Things (IoT), virtual and augmented reality, 6G could lead to futuristic smart factories, holographic communication, and even the Internet of Senses (experiencing four senses via radio waves). According to Melike Erol-Kantarci, Canada Research Chair (Tier 2) in AI-enabled Next-Generation Wireless Networks at the University of Ottawa, AI will be key to developing 6G as it will provide the efficiency and autonomy needed to integrate hardware and software solutions beyond current capabilities.

Canada is already at the forefront of turning 6G from theory into reality. In January 2022, VMware, a US-based multi-cloud technology provider, the Canadian non-profit research agency Mitacs, and the Institute of Electrical and Electronics Engineers announced they would create a 6G Applied Research and Innovation Lab in Montreal. This facility, in collaboration with the Open Grid Alliance, will help rethink and build networks that will eventually bring 6G to Canada and the world. This will not only help engineers develop a standard with speeds 100 times faster than 5G but also lead to a fundamental restructuring of the networks we rely on. This could lead to a more connected world, the end of the digital divide, and a more diversified economy. While commercial 6G rollout is still about a decade away, Canada is already poised to play a vital role in advancing technological evolution that will transform the economy of not only this country but the world.

What Does This Mean for Canadians?

In summary, technology is changing the way Canadians live and do business. Exciting discoveries have practical applications, and what was once considered science fiction is now a reality. As a leader in technology, Canada is still only scratching the surface of what might be possible. The adoption of new technologies will lead to exponential growth in data volume, which can be transmitted through Canada’s fiber-optic networks. Applications using AI and ML also depend on low latency and require ultra-high-speed networks to operate as promised in real-time.

Canada's networks need upgrading, and the next step is 400G. This technology offers the high speeds and capacity needed for Canada’s big data future. Bell Canada has already announced the deployment of 400G service on 10,500 miles of its core fiber-optic infrastructure, a distance that could wrap around the earth seven times. This will meet the rapidly growing demand for transporting vast amounts of data and content to the cloud. We are also ready for 800G, which will help us meet this need as demand grows. As Canada’s businesses and governments move towards a digital future, they will need advanced fiber-optic networks, and we are working on that. Are you ready?

The Role of AI and Blockchain

In addition to the innovations already mentioned, AI and blockchain are set to further transform Canada. AI is enhancing various sectors by providing more efficient, data-driven solutions. In healthcare, AI is being used for early diagnosis and personalized treatments. For instance, AI algorithms can analyze medical images much faster and more accurately than humans, leading to quicker diagnosis and treatment plans.

Blockchain technology, known for its security and transparency, is revolutionizing financial services, supply chain management, and even government operations. In financial services, blockchain provides a secure way to conduct transactions, reducing fraud and increasing efficiency. The government of British Columbia, for example, has implemented a blockchain-based system to improve the transparency and traceability of its supply chains.

By integrating AI and blockchain, Canada is poised to create a more efficient, secure, and innovative economy. These technologies will help build trust, reduce costs, and open up new opportunities for economic growth and social well-being. As Canada continues to invest in these technologies, the country is not only preparing for a future of exponential growth and innovation but also setting an example for the rest of the world to follow.