Ericsson to invest $470-million for research and job creation at Ottawa, Montreal facilities with federal funding

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Ericsson to invest $470-million for research and job creation at Ottawa, Montreal facilities with federal funding
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Prime Minister Justin Trudeau made the announcement in Ottawa along with Ericsson chief executive officer Börje Ekholm and Industry Minister François-Philippe Champagne

is investing $470-million to fund research and job creation at its Ottawa and Montreal facilities, and will receive an undisclosed amount of additional federal funding to do so.

Mr. Ekholm said the company decided to invest in Canada because of the tech talent and cultural fit. Already, Ottawa is Ericsson’s largest research and development facility in North America. Ottawa is not yet disclosing the dollar value of its intended investment, which it committed to through a memorandum of understanding with the company. The investment will be delivered through the Strategic Innovation Fund, which is administered by Innovation, Science and Economic Development Canada . In an interview with The Globe before the announcement, Mr.

Since 2018, The Strategic Innovation Fund has been used to attract large investments from companies like Mastercard Inc. and Siemens AG. This investment strategy - one that stretches long before the fund - has drawn ire from some industry experts, including Benjamin Bergen, president of the Council of Canadian Innovators, who have said that foreign companies funnel revenues - and tax dollars - back to their home countries and do not contribute to Canada’s intellectual property strategy.

Instead, he said, his strategy has been to promote Canada’s talent, resources, sustainable practices and culture. He hinted that talks with Ericsson started as early as May 2022.

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