CANADA NEWS RELEASE: Government of Canada Expands Support to Adopt and Commercialize Artificial Intelligence

October 13, 2026

Federal Economic Development Agency for Southern Ontario

Today, the Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario, announced that an additional $500 million over five years to expand and enhance the Regional Artificial Intelligence Initiative is now available. This investment brings total federal funding for the initiative to $700 million. The initiative is part of AI for All, Canada’s National Artificial Intelligence Strategy, announced in June 2026, which aims to build trust, strengthen Canadian AI capabilities and sovereignty, and ensure all Canadians can use AI responsibly to build and benefit from it.

Delivered by Canada’s regional development agencies (RDAs), the expanded initiative will help businesses and organizations responsibly adopt and integrate AI technologies to improve productivity, competitiveness and resilience. The support will focus primarily on sectors where Canada has strong expertise and economic potential, such as health and life sciences, energy and natural resources, transportation, agriculture, manufacturing and robotics, as well as other regional strengths and priorities.

The initiative will also help Canadian AI businesses gain customers, attract investment, and commercialize and scale Canadian-made products and services, while supporting regional organizations that connect businesses with the specialized support they need to adopt or commercialize AI technologies.

To start applying now, businesses and organizations should visit the Regional Artificial Intelligence Initiative to learn more and connect with the RDA serving their region.

This regionally responsive support will broaden AI adoption across Canada and help more Canadian AI firms scale and remain anchored here, along with their talent and economic benefits. These outcomes will strengthen productivity and growth while contributing to Canada’s economic sovereignty.

Quick facts

• The Regional Artificial Intelligence Initiative helps businesses and organizations adopt artificial intelligence, supports the commercialization and scale-up of Canadian-made AI solutions, and strengthens regional AI ecosystems across Canada.
• The initiative will also support broader access to the benefits and opportunities of AI for Indigenous Peoples, youth, underrepresented groups and communities across Canada.
• Applications are being accepted in southern Ontario until January 19, 2027. Proposed projects with eligible costs before March 31, 2027, must be submitted by November 24, 2026.
• Since the launch of RAII in 2024, businesses and organizations have adopted or commercialized AI through 218 projects across Canada, creating or maintaining over 1,100 jobs. These projects have leveraged approximately $1.77 for every dollar approved.
• AI for All, Canada’s National Artificial Intelligence Strategy, supports accelerated AI adoption among Canadian businesses, with a particular focus on SMEs, and includes measures to expand access to financing, AI expertise and secure computing infrastructure, including through the LIFT program, the Compute Access Fund and other business supports.

Contacts

Leela Polushin
Press Secretary
Office of the Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario
leela.polushin@ised-isde.gc.ca
343-543-5391

Media Relations
FedDev Ontario
media@feddevontario.gc.ca