With a thriving artificial intelligence (AI) ecosystem, world-class research institutions and strong government support, Canada has positioned itself as a global leader in AI innovation and adoption. AI in Canada is becoming increasingly recognized as a transformative power that enhances productivity, drives innovation and creates new opportunities. From healthcare to finance, manufacturing to agriculture, it’s making its mark on the economy by creating jobs and driving growth. 

According to IBM, Canadian companies are increasingly adopting and deploying AI, with about 37% of enterprise-scale organizations reporting using it as part of their business operations. And while adoption remained steady globally (42% since April 2023), the country saw an uptick in enterprises deploying AI from 34% in April 2023 to 37% in November 2023. 

A hotbed for innovation 

AI in Canada includes innovation hubs in Toronto, Montreal and Edmonton. These cities attract top talent and investment worldwide for research and development. 

The government has played a crucial role in fostering this tech-friendly environment. In 2017, Canada became the first country to introduce a national artificial intelligence strategy, demonstrating its commitment to maintaining leadership in this rapidly evolving field. 

Building on this foundation, the Canadian government  announced in May of 2024 a CAN $2.4 billion investment package in Budget 2024 to further secure Canada’s AI advantage. This funding aims to accelerate job growth in the AI sector, boost productivity and ensure responsible artificial intelligence development. 

AI applications across industries 

In healthcare, artificial intelligence is revolutionizing patient care, drug discovery and medical imaging. Healthcare providers leverage it to improve diagnostic accuracy, personalize treatment plans and streamline administrative processes. 

The finance and banking sector is using AI for fraud detection, risk assessment and personalized customer service. Meanwhile, AI-powered chatbots and virtual assistants enhance customer interactions and operational efficiency in financial institutions. 

In manufacturing, it’s optimizing production processes, predictive maintenance and supply chain management in factories. This is leading to increased productivity and reduced downtime.  

At the same time, Canadian farmers are utilizing artificial intelligence for precision agriculture, crop monitoring and yield prediction, and AI-powered drones and sensors are helping to optimize resource use and increase crop yields. 

Initiatives for AI in Canada 

The Canadian government has implemented several programs to support AI adoption among businesses. The NRC IRAP AI Assist Program provides CAN $100 million to help small- and medium-sized businesses scale up and increase productivity by building and deploying new AI solutions. Additionally, the government has allocated CAN $200 million through Regional Development Agencies to boost AI startups and accelerate AI adoption in critical sectors such as agriculture, clean technology, healthcare and manufacturing. $200 million through Regional Development Agencies to boost AI startups and accelerate AI adoption in critical sectors such as agriculture, clean technology, healthcare and manufacturing. 

Best practices for adoption of AI 

For organizations looking to harness the power of artificial intelligence, a strategic approach is crucial. Here are key considerations for successful adoption: 

Develop a comprehensive AI strategy 

Start by aligning AI initiatives with your overall business objectives. Identify specific problems or opportunities where AI can create the most value. Prioritize use cases based on their potential impact and feasibility. This focused approach helps ensure that AI investments deliver tangible benefits to your organization. 

Build and nurture AI talent 

The skills gap remains a significant challenge, with IBM’s survey finding that 41% of IT professionals citing it as a top barrier to adoption. To address this, consider a two-pronged approach: 

• Attract and retain AI professionals by offering competitive packages and exciting projects. 
• Invest in upskilling your existing workforce. According to IBM’s research, 42% of Canadian organizations exploring or deploying AI invest in reskilling and workforce development. 

Promote ethical implementation 

As AI in Canada becomes more prevalent, ethical considerations are paramount. Adhere to the government’s technology ethics guidelines and implement robust data governance practices. This not only helps ensure regulatory compliance but also builds trust with your customers and stakeholders. According to IBM’s market research, 82% of IT professionals agree that consumers are more likely to choose services from companies with transparent and ethical practices. 

Seamlessly integrate with existing systems 

When integrating artificial intelligence with legacy systems, focus on interoperability and scalability. This may require modernizing your IT infrastructure to support AI workloads effectively. Consider cloud-based solutions, which can provide the necessary computing power and flexibility for AI implementations. 

Leverage government support and resources 

Take advantage of programs like the NRC IRAP AI Assist. Collaborate with such research institutions to stay at the forefront of emerging innovations and potentially access cutting-edge technologies. 

Stay compliant with tech regulations 

Understanding and preparing for the Artificial Intelligence and Data Act (AIDA) is crucial. This proposed legislation aims to guide innovation in a positive direction and protect Canadians from potential risks. Leverage the new Canadian AI Safety Institute for guidance on safe development and deployment of artificial intelligence. 

Start small and scale 

Begin with pilot projects to demonstrate value and gain organizational buy-in. As you achieve success, gradually expand your AI initiatives across the organization. This approach allows for learning and adjustment along the way, minimizing risks and maximizing returns on these types of investments. 

Harness the potential of artificial intelligence with BPM’s tailored solutions 

BPM understands the Canadian business environment and AI ecosystem. We provide customized solutions to help you use artificial intelligence effectively, while maintaining compliance and maximizing its benefits. To explore how we can support your technology integration and help you develop financial strategies to seize AI opportunities, contact us.