Ten tech companies and organizations based in Vancouver are receiving a cumulative $25.7 million investment from the federal government to help retain and expand employment opportunities amid tech layoffs.
On Monday, Pacific Economic Development Agency of Canada (PacifiCan) announced it is doling out over $16.1 million for eight companies through its Business Scale-Up and Productivity program, and more than $9.6 million for two organizations through the Jobs and Growth Fund.
The PacifiCan investment is expected to help the recipients generate more than $500 million in revenue growth across the province.
This influx of capital into several British Columbia (BC) businesses comes at a time when startups in the province and beyond are experiencing the crunch for funding, leading to mass termination events. Most recently, the provincial government extended its tax credit for digital media companies in an effort to lower employment costs.
According to PacifiCan, this recent $25.7 million investment is expected to help create over 500 jobs and more than $500 million in revenue growth.
Among these recipients is media and technology company Broadband TV (BBTV), which secured $5 million from the total funding to expand its digital marketing operations and sales strategy. According to the company, it plans to do this by hiring new staff and implementing an enterprise resource planning system.
Founded in 2005, BBTV allows its partners to distribute, manage, and monetize video content. As a player in digital media, the Toronto Stock Exchange-listed company has not been exempt from the sector-wide liquidity issues. In June 2022, BBTV implemented a “cost optimization plan” that cut its workforce by 14 percent. Earlier this year, BBTV’s holding company secured a $21.6 million CAD loan from MEP Capital Holdings III to “support its path to profitability.”
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Healthtech company MetaOptima also plans to add more people to its team using the PacifiCan investment. MetaOptima is receiving $2.031 million to expand export sales of its cloud and mobile software solutions for dermatology and skin care, with a focus on the United States market. In addition to its hiring plans, the company also noted its intention to develop marketing and training material, and improve its cloud services.
Circle Innovation, a BC-based tech hub for small and medium sized businesses (SMBs), is receiving $4.6 million to help life sciences companies in the province develop new technologies and expand their services. According to the organization, the funding will be allocated towards helping BC companies train more than 600 workers and create over 80 jobs. Circle Innovation also said it will support the growth of 40 SMBs expected to generate $14 million in revenue throughout the province by 2025.
“This funding will enhance the competitiveness of Canada’s life sciences sector, supporting strong economic growth and enabling critical advances in healthcare,” said Minister of International Development Harjit Sajjan, who is also the minister responsible for PacifiCan.
Here is the full list of recipients.
- Arbutus Medical ($400,000)
- Aspect Biosystems ($3.6 million)
- Augurex Life Sciences ($473,000)
- Broadband TV ($5 million)
- Circle Innovation ($4.6 million)
- CoPilot AI ($5 million)
- Klue Labs ($2 million)
- MetaOptima Technology ($2.03 million)
- PrecisionOS Technology ($1.5 million)
- TradableBits Media ($1.02 million)
Featured image courtesy BBTV.