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Canada’s AI Strategy: A Decade of Investment and Future Challenges

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Over the past decade, the federal government of Canada has invested over half a billion dollars into a national Artificial Intelligence (AI) strategy. This initiative has given rise to key national institutes such as Amii, Mila, and the Vector Institute, as well as efforts in AI commercialization through the Global Innovation SuperClusters. At the recent ALL IN conference in Montréal, co-hosted by Mila and Scale AI, I had the opportunity to speak with Elissa Strome, executive director at the Canadian Institute for Advanced Research (CIFAR) and a key architect of the strategy.

CIFAR’s Role in AI Development

CIFAR has a long-standing history in AI research, dating back to its first program in 1983. Strome shared insights on the evolution of the Pan-Canadian Artificial Intelligence Strategy, particularly highlighting the goals achieved during its second phase. As CIFAR looks toward phase three, the focus remains on making “deep investments” in research and talent, while identifying gaps in Canada’s AI ecosystem to enhance its competitiveness on the global stage.

Phase Two: Successes and Critiques

During my panel discussion at the ALL IN conference, AI startups expressed concerns about the current state of AI commercialization in Canada. Although the federal government has committed $2.4 billion to the initiative, major players like Microsoft, Meta, Amazon, and Alphabet have collectively spent an astounding $104 billion on AI infrastructure in the first half of 2024 alone. This stark contrast raises questions about Canada’s position in the global AI landscape.

Legislative Hurdles: Bill C-27 and the AIDA

Another critical point of discussion is the Artificial Intelligence and Data Act (AIDA), introduced alongside phase two of the strategy in June 2022. Two years on, progress on AIDA has stalled, leaving many stakeholders, including prominent figures like Yoshua Bengio and former attorney general David Lametti, skeptical about its future. This legislative lag puts Canadian researchers, non-profits, and startups at a disadvantage, especially when compared to the more advanced regulatory frameworks being developed in jurisdictions like California.

Looking Ahead: Phase Three and New Opportunities

As Canada faces the challenge of keeping pace with international developments in AI regulation and commercialization, the upcoming phase three of the strategy will need to address shortcomings from phase two. Strome emphasizes the need for a comprehensive approach that incorporates new challenges and opportunities that have arisen in a rapidly evolving AI landscape.

Conclusion: Navigating the Future of AI in Canada

While CIFAR has made significant strides in laying the groundwork for Canada’s AI strategy, the organization acknowledges that gaps between strategy, policy, and execution remain substantial. As Strome contemplates the future of Canada’s AI ecosystem, the call for a cohesive strategy that bridges these gaps is more urgent than ever. The success of phase three will depend on not only addressing past shortcomings but also preparing for an increasingly competitive global environment.

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