NGen announces nearly $80 million for Canadian manufacturers to adopt AI

Minister Evan Solomon meets manufacturing technologists at N3 Summit in Toronto.
Funding comes from industry partners and through Pan-Canadian AI Strategy.

Canada’s public and private sectors are funding AI’s introduction into factory floors in a bid to accelerate manufacturing and boost productivity. 

The 20 projects will help Canadian manufacturers make their processes more efficient with “cutting-edge AI solutions.”

Industry-led non-profit Next Generation Manufacturing Canada (NGen) announced at its N3 Summit manufacturing conference in Toronto on Tuesday that it would support 20 AI projects for manufacturers through a more than $79-million envelope. More than $50 million of that comes directly from industry partners, while the remaining $29 million consists of new federal funding through the Pan-Canadian Artificial Intelligence Strategy

The 20 projects, which range from automotive assembly to defence and security tech, will help Canadian manufacturers make their processes more efficient and competitive with “cutting-edge AI solutions,” AI minister Evan Solomon said in a statement. 

Several Canadian tech companies are participating in the projects, all of which focus on building domestic capacity. Toronto-based e-Zinc is launching an AI-powered quality control project to inspect its water-based battery systems for clean energy, in partnership with Katalyze AI. Toronto physical AI startup Xaba is partnering with Martinrea International to deploy robotics with AI vision into powerpack manufacturing. Kanata, Ont.-based InPho (ElectroPhotonic-IC) plans to integrate AI into semiconductor manufacturing for use in advanced data centres. 

Statistics Canada data from 2024 shows that Canada’s manufacturing ecosystem is at a nascent stage of robotics adoption, with lower rates than countries such as Thailand and Mexico. A 2020 Statistics Canada study suggested that Canadian firms that used robotics in manufacturing increased productivity and grew their workforces by an average of 20 percent. 

RELATED: NGen helps lead $108-million investment in sustainable manufacturing tech

Jayson Myers, the CEO of NGen, said in a statement yesterday that Canadian manufacturers are facing pressure to keep costs under control and compete globally. “By putting Canadian AI directly onto factory floors, we’re helping manufacturers do that now, not years from now,” he said.

NGen is the industry-led, not-for-profit organization tasked with running Canada’s Global Innovation Cluster for advanced manufacturing. It connects a network of industry partners in manufacturing technology, and lobbies the federal government on behalf of domestic manufacturers. 

Feature image courtesy Evan Solomon via LinkedIn

0 replies on “NGen announces nearly $80 million for Canadian manufacturers to adopt AI”