‘The future is present’: Why Canada can’t afford to move slowly on AI innovation strategies

Presented in partnership with Meta

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Episode Description

Hilary Carter, the SVP of research at the Linux Foundation, discusses why Canadian firms have been slower to adopt AI than their global peers, what “AI readiness” actually means for businesses, and why open-source AI might be the key to unlocking Canada’s potential. Carter makes a compelling case that we’re at a defining moment—one that requires urgency over caution, execution over endless consultation, and a willingness to get uncomfortable.

The Hub Staff

The Hub’s mission is to create and curate news, analysis, and insights about a dynamic and better future for Canada in a…

Episode Summary

Canada faces a critical juncture in its artificial intelligence development, caught between its early leadership in research and the challenge of translating that foundation into commercial success. The country established world-renowned research institutions in major cities during the mid-2010s, supported by substantial government and private sector investment. However, the nation now confronts what analysts describe as a valley of death between research and commercialization.

The challenge extends beyond technical capabilities to encompass organizational culture within Canadian enterprises. A tendency toward caution and complacency has historically characterized the business environment, but global competitive pressures demand a fundamental shift. Canadian corporations across traditional industries and emerging startups must redefine their approach to excellence and innovation. This transformation requires both change management initiatives and educational efforts to demonstrate the empirical value of new technologies.

Fear and misinformation about artificial intelligence present additional obstacles. As with previous technological revolutions, resistance to change stems from natural trepidation about the unknown. However, the emergence of AI and open source models represents an irreversible shift that demands adaptation rather than hesitation.

Organizational readiness for AI adoption encompasses multiple dimensions. Successful companies worldwide are making strategic decisions around open source software, hardware, standards, and data. Skills development presents a particular challenge, as most organizations lack necessary expertise and cannot afford to hire externally. Training existing teams becomes essential rather than optional.

Leading organizations demonstrate an ecosystem-first approach, collaborating globally while innovating locally. They engage with technology communities and leverage international talent pools rather than maintaining narrow regional focus. Mature organizations generate revenue from digital products while simultaneously reducing operational costs through transformation initiatives.

Open source AI offers particular advantages for speed to market and cost efficiency. Pre-existing, tested solutions eliminate the need to rebuild foundational technologies, accelerating development timelines. Small and medium-sized businesses globally have embraced open source models primarily for their cost effectiveness and accessibility.

Canada possesses significant advantages to build upon. World-class industries in energy, natural resources, and financial services provide a strong foundation. The country’s innovation culture, talented workforce, and renowned universities create corridors of technological advancement. Recent developments in the energy sector demonstrate practical applications, with utilities using open source AI and drone technology for infrastructure inspection.

The financial services sector shows particular promise despite operating in a highly regulated environment. Major Canadian banks rank among global innovation leaders and are increasing their engagement with open source technologies. These institutions collaborate on regulatory risk management and AI governance frameworks, demonstrating how regulated industries can participate in open ecosystems without compromising competitive positions.

Government policy requires reassessment to support faster execution and reduced bureaucracy. Current incentive structures may inadvertently impede innovation and contribute to talent migration. Procurement practices and open source adoption policies could position government as a model user of emerging technologies.

This summary was prepared by NewsBox AI. Please check against delivery.

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