Canada’s Innovation Clusters

The Global Innovation Clusters (GIC) initiative is a federal program created by Innovation, Science and Economic Development Canada (ISED). It was established to build globally competitive innovation ecosystems in Canada by funding and coordinating large-scale collaboration between businesses, researchers, and government. Through this initiative, Canada supports five industry-led clusters that focus on digital technologies, protein industries, AI, advanced manufacturing, and ocean-based industries.

Each cluster operates independently and manages co-investment projects where federal funding is matched by industry. These projects aim to accelerate the development  / commercialization of innovative solutions, strengthen supply chains, and foster economic growth across Canada. By bringing together startups, SMEs, researchers, non-profits, and industry leaders, the clusters foster collaboration, provide access to expertise, and connect businesses to non-dilutive funding opportunities; ultimately, the clusters help Canadian entrepreneurs scale more efficiently, innovate smarter, and compete on a global stage.

Eligibility Requirements Across All Clusters

Before exploring individual clusters, it’s important to understand the common eligibility criteria for programs under all the innovation clusters:

  • Collaboration: Projects must generally involve multiple partners, including at least one SME, and often require participation from research institutions or other industry stakeholders.
  • Innovation: Initiatives should focus on R&D of new technologies, processes, or products that demonstrate a clear advancement over existing solutions.
  • National Impact: Projects should aim to address challenges or opportunities that have widespread implications for Canada’s economy or society.

Digital Global Innovation Cluster (DIGITAL)

Headquartered in Vancouver, the Digital Global Innovation Cluster (DIGITAL) is advancing Canada’s leadership in emerging digital technologies, including AI, big data, quantum computing, immersive media, and cybersecurity. The cluster aims to accelerate the adoption of digital solutions across industries and strengthen Canada’s global competitiveness.

Current Opportunity: DIGITAL is accepting applications under a Call for Projects in mining and energy which will allocate $22 million in co-investment, leveraging over $60 million in total project funding with industry contributions. Eligible projects must be collaborative and industry-led, typically involving a consortium of partners and matched funding from participants. Earlier applications are encouraged.

Example Project: The “AI-Powered Predictions for Transferring Patients to Virtual Care” project, led by Signal 1 in collaboration with the Integrated Health and Social Services University Network for West-Central Montreal, is developing an AI system to identify patients eligible for virtual care. By streamlining screening and onboarding, the project reduces clinician workload and frees up in-hospital beds for critical cases. With $1.6M from DIGITAL, this initiative advances smarter, more efficient virtual care delivery in Canada.

Protein Industries Canada (PIC)

Based in Regina, Protein Industries Canada (PIC) is spearheading Canada’s growth as a global hub for plant-based proteins and agricultural innovation. The cluster connects crop producers, ingredient processors, and technology companies to develop new food products, sustainable production methods, and advanced processing technologies. For startups operating in agritech or foodtech, PIC offers strategic industry linkages and pathways to market. Eligible projects under PIC typically involve at least two PIC members, with at least one SME participant, and may include research institutions.

Current Opportunity: The Strengthening the Canadian Supply Chain Program provides up to 75% of eligible project costs, capped at $150,000 per project, to support Canadian-owned companies (especially SMEs) in scaling domestically produced food and ingredients. The program focuses on reformulating products with Canadian crops, enhancing supply chain resilience, and commercializing innovative plant-based solutions. Applications are accepted on an ongoing basis until funds are fully committed.

Example Project: The “Processing Pea Protein to Create New Food and Ingredients” project, led by Louis Dreyfus Company (LDC) and the Chronic Disease Innovation Centre (CDIC) at Seven Oaks Hospital, is developing a Canadian-made pea protein isolate. This ingredient is being tested in various food products, focusing on taste, nutrition, and digestibility for seniors. With $15M from PIC, the initiative aims to enhance Canada’s food supply chain, support local farmers, and offer nutritious, plant-based options to Canadian families.

Scale AI

Based in Montréal, Scale AI is Canada’s Global Innovation Cluster dedicated to the application of AI in supply chain and logistics. The cluster funds collaborative projects that integrate AI solutions into real-world operations, improving productivity, efficiency, and resiliency. Startups benefit from industry partnerships, access to high-value datasets, and market validation. Scale AI tends to accept continuous intake of project proposals. Eligible projects must involve multiple participants, with at least one SME, and align with Scale AI’s mission of applying AI to improve industry value chains.

Current Opportunity: Scale AI’s Acceleration Program supports Canadian incubators, accelerators, and innovation centres that help AI startups scale applied AI products for value chains. Instead of funding individual companies directly, Scale AI reimburses certified programs up to $50,000 per startup based on the number of graduates. Additionally, their Projects Program funds collaborative AI initiatives that advance AI adoption and commercialization across Canadian value chains. Eligible projects must align with Scale AI’s strategic objectives. Those who are interested must attend a weekly webinar (Thursdays at 3:00 p.m. EST), and work with Scale AI’s investment team to develop a detailed submission. Other programs offered by ScaleAI include grants to Canadian businesses and organizations engaged with training their workers in digital intelligence or artificial intelligence with content that has been custom-developed or adapted for the company, in collaboration with a training provider.

Example Project: The “Galileo Project”, supported by Scale AI ($1.5M), is revolutionizing workforce planning in Canada’s maritime logistics sector. Led by the Maritime Employers Association in collaboration with private industry and academic institutions, the project leverages AI to predict ship arrival times up to 21 days in advance.

Next Generation Manufacturing Canada (NGen)

Headquartered in Hamilton, Next Generation Manufacturing Canada (NGen) supports the development and commercialization of advanced manufacturing technologies, including robotics, automation, additive manufacturing, and advanced materials, as well as AI integration into manufacturing. Hardware-focused startups and SMEs gain access to resources, industry networks, and commercialization pathways through the cluster.

Current Opportunity: NGen had recently closed intake for the Advanced Manufacturing Technology Program. This program provides up to 40% of eligible project costs for collaborative, industry-led projects that advance innovative manufacturing technologies. Eligible applicants include Canadian for-profit organizations, SMEs, Indigenous organizations, and not-for-profits facilitating R&D, participating as part of a consortium with at least two unassociated Canadian partners. Project budgets must range from $1.5 million to $8 million, with a duration from April 2026 to January 2028. Other programs and initiatives are expected to be released.

Example Project: In response to the COVID-19 pandemic, StarFish Medical led the redesign and re-certification of the Winnipeg Ventilator. Supported almost entirely by Ngen ($5M), the project focused on innovative manufacturing solutions, enabling production of 10,000 units in just 12 weeks using non-traditional supply chains, alternative components, and advanced manufacturing techniques.

Canada’s Ocean Supercluster (COS)

Based in Halifax, the Ocean Supercluster drives collaborative innovation across Canada’s ocean economy, including fisheries, aquaculture, shipping, marine energy, and ocean technology. Its mandate is to accelerate the commercialization of sustainable, globally competitive ocean solutions, offering companies access to industry networks, expertise, and funding.

Current Opportunity: COS is accepting proposals for the Innovation Ecosystem Program, which provides up to 75% funding for projects aimed at strengthening Canada’s ocean innovation ecosystem. Eligible projects include those that enhance networks, partnerships, and workforce development within the ocean sector. Projects must be completed by October 2027.

Example Project: The “Digital Ship Predictive Intelligence Project”, led by Seaspan Shipyards with Maya Heat Transfer Technologies and the CSL Group, is developing AI-driven predictive maintenance solutions for marine vessels. Supported by $2.3 million from COS, the project uses digital twins and advanced algorithms to improve vessel efficiency, reduce operating costs, and extend equipment lifespan. These innovations also aim to reduce environmental impact while building Canadian marine technology capabilities.

Final Thoughts

Canada’s innovation clusters give startups and SMEs access to funding, expertise, and partnerships to develop and scale new technologies. By leveraging these clusters, businesses can tackle complex challenges, scale more efficiently, and drive national impact across sectors such as digital technologies, agrifood, AI, advanced manufacturing, and marine innovation. Engaging with these programs strengthen the global competitiveness of Canadian while contributing to a stronger, more resilient economy.

NorthBridge Consultants’ Canadian Business Blog is dedicated to bringing businesses news and information to help them identify and access the most appropriate government funding programs.

We offer opinions and insider information that can provide a pulse on government initiatives, the health of the Canadian economy, and firsthand thoughts from Canadian business owners.

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