This marks a significant step to bringing large-scale data centre capacity online

VANCOUVER, BC, May 11, 2026 /CNW/ - Globally, industry and government alike are moving quickly to bring large-scale data centre capacity online. Access to cutting-edge compute infrastructure is crucial for maintaining Canada's leadership in artificial intelligence (AI), empowering researchers and industries to thrive.

Today, the Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario, announced that the Government of Canada and TELUS are advancing work under the government's Enabling large-scale sovereign AI data centres initiative.

As part of this work, the proposed large-scale AI data centre project in British Columbia would increase Canada's sovereign compute capacity and support the broader domestic innovation ecosystem, including academia and industry.

In Budget 2025, the government indicated its intent to identify a limited number of large-scale sovereign commercial AI data centre projects and to engage with the most promising proposals through non-binding memoranda of understanding (MOU). The government will explore mechanisms that enable large–scale commercial AI data centres to be built in Canada. This will provide additional compute capacity for the broader domestic innovation ecosystem.

AI is creating major economic opportunities across the country. Building the compute infrastructure behind AI is critical to helping Canadian businesses adopt new technologies, increase productivity, create good jobs and drive long-term economic growth. Canada is well positioned to attract AI infrastructure investment due to its geography, climate, sustainable energy sources and extensive network infrastructure.

Quotes

"Canada cannot compete in the AI economy without the infrastructure to back it up. By advancing this project with TELUS, we are taking concrete action to build sovereign AI capacity here in Canada, so Canadian innovators, researchers and businesses have access to the compute they need, while keeping Canadian data, intellectual property and economic advantage on Canadian soil."
– The Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario

"We are incredibly proud to be working with the Government of Canada to help build Canada's sovereign AI infrastructure. The unprecedented demand that completely sold out our first AI factory in Rimouski proves that Canadian innovators want cutting-edge AI infrastructure built right here on Canadian soil. We are sending a clear message to the world: Canada will lead the AI revolution with uncompromising technological power and unparalleled climate leadership."
– Darren Entwistle, President and CEO of TELUS

Quick facts

• Budget 2025 provided a mandate to engage industry, identify promising AI infrastructure projects and negotiate MOUs with project proponents.
• The call for proposals on enabling large-scale sovereign AI data centres ran from January 15 to February 15, 2026.
• The Government of Canada is engaging with proponents of promising projects to explore collaborative opportunities in the future. No funding has yet been committed or distributed.

Associated links

• Enabling large-scale sovereign AI data centres
• Canadian Sovereign AI Compute Strategy
• Budget 2025

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