Ericsson, Govt of Canada Sign Expanded Funding Agreement

Ericsson and the Government of Canada have signed an expanded funding agreement that will see Ericsson invest more than CAD $630 million in its Canadian R&D operations, a substantial increase from last year’s announcement. This funding increase will further enhance Ericsson’s R&D capabilities at its research facilities in Ottawa and Montreal creating and upskilling hundreds of jobs and internships and strengthening these sites as global leaders in 5G Advanced, 6G, AI, Cloud RAN, quantum, and network API technologies.

François-Philippe Champagne, Minister of Innovation, Science and Industry, says: “Our partnership with Ericsson solidifies Canada’s position as a leader in next-generation networks. With the increased investment, we’ll not only support the 5G networks of today, but also advance the technologies that will shape our future and continue to make Canada a leader in these areas.”

Ericsson’s R&D centres in Montreal and Ottawa will focus on the development of quantum communications and AI-powered network management, while also expanding its Cloud RAN, 5G Advanced, and 6G capabilities. The investment will further support the expansion of research facilities and staffing for quantum computing at Ericsson’s Quantum Research Hub in Montreal and further grow Ericsson’s already strong partnerships with more than 20 Canadian post-secondary institutions.

Börje Ekholm, President and CEO of Ericsson, says: “Canada is a leader in many important fields including AI, quantum and advanced mobile network research and Ericsson’s world-class R&D facilities in Ottawa and Montreal are at the heart of our global innovation efforts. Our vision is to leverage open, mobile connectivity to drive positive impact for enterprises and society, accelerate digital transformation and support a low-carbon future and this investment will address all these areas. Our partnership strengthens Canada’s leadership in next-generation communications, and we are proud to play a key role in shaping that future.”

Yossi Cohen, President and Head of Ericsson North America, says: "We are proud of the exceptional talent and cutting-edge research and development emerging from Canada and our dedicated team. With today's announcement of increased funding, we're excited to deepen our commitment to fostering Canadian innovation. The technological advancements being developed here are laying the foundation for new industries and applications, fueling our global business growth. We're eager to continue building a strong partnership, with Ericsson playing a key role in advancing innovation both in Canada and across North America."

Ericsson’s continues its commitment to technological innovation in Canada. This year alone, the company has announced a new 10-year agreement with Concordia University to advance research and talent development in Information and Communications Technology (ICT), and the launch of the Ericsson-Carleton 5G Drone Lab, positioning Canada and Canadian talent at the forefront of cutting-edge technology.

Jeanette Irekvist, President of Ericsson Canada, added: “Today, we reinforce our unwavering commitment to innovation in Canada. Our Ottawa and Montreal R&D centres are driving the future of connectivity, and this partnership with the Government of Canada will allow us to accelerate even more groundbreaking work. Together, we are creating high-skilled jobs and advancing technologies that will shape the global communications landscape for years to come. We look forward to bringing this innovation to our customers and continuing to provide connectivity to all Canadians.”

Over the course of the five-year agreement, Ericsson will create almost 200 new high-skilled jobs and plans to welcome more than 600 co-ops through its university partnerships, onboarding up to 120 students annually and committing to more than 10 academic collaborations a year.

Mark Sutcliffe, Mayor of Ottawa, noted: “Today’s announcement of increased investment in Ericsson’s R&D operations is a strong vote of confidence in Ottawa’s tech industry. This commitment reflects Ottawa’s strength as a hub for world-class talent and innovation, solidifying our city’s role in driving the next wave of technology advancements. Ottawa is positioned as a global leader in R&D and technologies like AI and next-generation communications that will shape tomorrow.”

Already Ericsson’s key North American R&D facility, the Ottawa site occupies 25,000 sq m – of which more than 4,300 sq m is solely dedicated to labs for research, hardware/software design, integration and verification of products for Ericsson global portfolio. Ericsson established its first Canadian R&D innovation center in Montreal in 1986 and continues research there from developing guidelines for AMPS (1G) mobile networks, artificial intelligence (AI), to cutting-edge research in 5G. Today, Montreal operations include Ericsson’s Global AI Accelerator program and Ericsson’s quantum hub, launched last year.

Working toward a Net Zero future and redefining networks

Ericsson and the Government of Canada continue to partner on sustainability through technology. In 2022, Ericsson announced a strategic research program led by École de technologie supérieure (ÉTS), in partnership with Concordia University, Polytechnique Montréal and Environment and Climate Change Canada (ECCC), to explore how AI can help the telecommunications sector minimize the energy consumption of 5G networks. Earlier this year, Ericsson also joined the Government of Canada’s Net Zero challenge.

Over 70 Years of Connecting Canadians

Ericsson Canada has played a vital role in the country’s innovation ecosystem for over 70 years, supporting communications service providers through every generation of mobile communication. Ericsson Canada is also a partner in the national ecosystem network aimed at fostering 5G adoption and collaboration in Canada. With R&D centres and offices in Montreal, Ottawa, and Toronto, Ericsson Canada is among the leading R&D spenders in the country – averaging $345 million per year. The company’s commitment to global innovation in network sustainability is driven by its investments in R&D here in Canada and through partnerships with Environment and Climate Change Canada and leading academic institutions, focusing on how AI and other technology can help achieve climate action goals.