Canada’s Tech industry is inarguably one of the fastest growing globally. Tech businesses and investors are expanding to Canada while others are relocating entirely with investors starting new tech-based investments by the day. While the political, social and economic climate in the rivalling U.S continue to be unfavorable for businesses, Canada is witnessing an influx of multinational tech companies setting shop across its favorable provinces.
Favorable government policies
The Canadian government is playing an active role in ensuring the country appeals to investors and multinational tech companies. The government has made it easy to obtain approvals for Visas and work permits. This has made it possible for stakeholders in the sector to hire best international IT talents to spearhead the development of innovative ventures in the country.
By making Canada conducive for technological development and advancement, the government has safeguarded the nation’s top IT talent and while at it dealt a-brain-drain blow to nations that frustrate genius with unfavorable working conditions.
Government investing in tech sector
The Canadian government is doing everything within its powers to ensure that its IT sector puts up a spirited competition in the global arena. The government is investing heavily in the sector to boost innovations and development. In the 2017 budget, the government allocated a lofty $1.26 billion for Strategic innovation. The funds meant to accelerate growth, meaningful development and commercialization of innovative products and services were distributed to all sectors of the economy. Through the said ‘Strategic Innovation Fund’ the government had a particular interest in technological innovation and advancement aiming to double such ventures by 2025.
Through the program the government incentivized businesses to invest heavily in innovative technology solutions. The province of British Colombia responded remarkably to these pleas generating an annual revenue of $26 billion with a huge chunk of this contributed by tech-based businesses. BC has the largest population of individuals employed in the tech sector. Over 150,000 individuals are employed in the tech sector with the number expected to increase now that giant multinationals like Amazon, Disney, Microsoft and Cisco among others showing interest in expanding to BC.
The Canadian government through the Ministry of Innovation, Science and Economic Development recently announced that it was investing $52.4 million for “growth and innovation network.” The funds would be distributed to Canada’s biggest innovation hubs; Communitech getting $18 million, Ottawa will get $16.9 million while MaRS Discovery District will be entitled to $17.5 million. This funds will go towards inciting tech-based startups and corporation to scale even bigger, provide employment opportunities and compete globally.
Here are 3 Canadian Tech companies already killing it internationally;
Shopify (NYSE:SHOP)
Shopify is making a splash in the global e-commerce sector. With a market valuation of over $31 billion and a steadily climbing stock, Shopify represents Canada’s burgeoning tech sector. As of this writing Spotify’s stock was priced at $278.01, a 5.24% climb from the opening price.
Pason Systems (TSX:PSI)
Indexed on TSX, Pason is making in the oil industry. With its integrated drilling Data Solution, the company is providing players with effective digital solutions for data collection, management, report and analysis. Last year alone, the company earnings ballooned nearly 150%. Pason’s stock has an analysts’ consensus recommendation of outperform.
The Descartes Systems Group (NASDAQ:DSGX)
This company has a remarkable growth rate and a solid balance sheet thanks to its innovative technology solutions that include a logistic software, cloud-based services for businesses in the logistics space and supply chain management software. The company has a valuation of over $3 billion with its stock having gained nearly 2% as of this writing.
