In November of last year, as part of Budget 2025, the federal government committed some $80 billion in spending to “rebuild, rearm, and reinvest” in Canada’s armed forces, including almost $7 billion for the new Defence Industrial Strategy.
But while the feds dropped their spending commitments, the actual strategy behind them only came some three months later (and two months late).
“There’s a lot in this document… Do we feel the urgency and the threats are covered here?”
With DIS now here, I needed some help to evaluate the strategy, the spending, and some sticky questions about canola oil and Canadian sovereignty. Joining me on The BetaKit Podcast this week is Vass Bednar, managing director of the Canadian Shield Institute and co-author of The Big Fix, and Matt Lombardi, co-founder of The Icebreaker.
The pair note there’s a lot to like in the DIS, while acknowledging a few gaps, including elements that were included in earlier draft versions of the document. But this is a strategy document, not policy, and fine details on procurement and other considerations are expected to be hammered out by the new Defence Investment Agency.
The missing fine print does matter. The Canadian Shield Institute scored the DIS an 8/10 on sovereignty, but a question not answered in the document is fundamental: what is a Canadian company? It’s a question that will have to be answered soon if Canada hopes to capture the short- and long-term returns on its major capital investments in defence.
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The “necessary, but not sufficient” vibe of the DIS points to a much bigger question about whether or not Canada as a whole is acting with a sense of urgency, and what must come next.
So, will the DIS help maintain Canadian sovereignty? And what does it mean for Canadian defence tech companies? Let’s dig in.
PRESENTED BY
The BetaKit Podcast is presented by BetaKit Most Ambitious: Town Hall, the marquee opening event of Toronto Tech Week 2026.
Taking place on May 25 at the iconic TIFF Lightbox, BetaKit Most Ambitious: Town Hall will bring together over 500 leaders from across Canada’s tech and innovation ecosystem for meaningful conversations about strengthening the nation’s autonomy, security, and prosperity.
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Recorded and edited by Toronto Podcasts. Feature image courtesy Mark Carney via LinkedIn.