Canadian AI Institutes Push for $434M to Secure National AI Leadership

Canada's leading artificial intelligence research institutes are making an urgent plea to the federal government: invest $434 million now or risk losing the country's competitive edge in the global AI race. According to documents obtained by The Logic, three major AI institutes—Edmonton's Amii, Montreal's Mila, and Toronto's Vector Institute—along with research non-profit CIFAR, presented this proposal to AI Minister Evan Solomon in July 2025.

The stakes couldn't be higher. These institutes warn that without immediate action, "invaluable AI assets—our researchers, their ideas, and potential ventures—will migrate abroad," undermining Canada's AI sovereignty in an era of unprecedented international competition for talent.

The Funding Breakdown: Where Every Dollar Counts

The $434 million request targets three critical areas:

Talent Retention ($186M): Extending the chairs program through 2036 to combat what the institutes describe as an "unprecedented global war for AI talent." Tech giants like Meta, OpenAI, and Google are offering massive packages to lure top researchers, while foreign institutions are actively recruiting from Canadian universities.

Startup Support ($75M): A new scientist venture fund would provide "direct, patient, and flexible equity investments" to researcher-led companies at pre-seed and seed stages—filling a gap where traditional VCs often avoid highly technical, capital-intensive AI startups.

Business Adoption ($108M): Renewed commercialization programs to help Canadian businesses integrate AI technologies and connect with top talent, addressing the country's persistent challenge of turning research breakthroughs into economic value.

The Urgency Factor

The timing is critical. Current federal funding for commercialization programs expires in March 2026, and academics typically start job searching up to a year in advance. The institutes report that Canada will "effectively have no instrument in place for additional AI talent recruitment" after March, creating a dangerous talent vacuum.

This proposal comes as the Liberal government under Prime Minister Mark Carney works on overhauling the national AI strategy—moving two years ahead of the scheduled renewal. While the November budget didn't implement these recommendations, AI Minister Solomon has promised more details this quarter.

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