Canada is one of the most technologically advanced countries in the world and has a large a vibrant tech sector concentrated in Montreal, Ottawa, Toronto, and Kitchener-Waterloo to the east, and in Calgary and Vancouver to the west.
It is estimated that the Canadian tech (software and computer services sub-sector) workforce totalled over 1.2 million employees in 2022, comprising an estimated 6.3% of the Canadian workforce. To give an idea of the size and vibrancy of the sector, note that Toronto has been ranked as the third largest tech hub in the whole of North America in terms of number of employees, behind only the San Francisco Bay Area and New York.[ImageInfoWidget background_colour=”#eeeeee” attached_image=”111331″]This paper explores four tech and digital creative sub-sectors, including demand, trends, market requirements, competition, and market entry strategies.
Video Game Development – Video game development and publishing are foundational segments of the video game industry and is the area in which Canada plays an important role. Canada is well-known as a video game development hub, having produced some of the world’s most successful titles, including Grand Theft Auto IV, Red Dead Redemption I &II, and the FIFA series, to name a few examples.
The Canadian video game development industry generated an estimated CAD$5.5 billion in revenue in 2021. The country is home to over 900 active video game companies, including international video game powerhouses such as Electronic Arts Vancouver (EA), Ubisoft Montreal, and Warner Bros. (WB) Games, among others.
[/ImageInfoWidget][ImageInfoWidget background_colour=”#eeeeee” is_reversed=”true” attached_image=”111615″]Animation and VFX – Canada, particularly Toronto, Ontario; Montreal, Quebec; and Vancouver, British Columbia, is well known for its animation industry. Canada is especially renowned for its children animation, having animated and/or produced many globally successful animated television series, including Care Bears, The Raccoons, Arthur, Babar, Caillou, Franklin, Inspector Gadget, My Little Pony, and Paw Patrol.
In 2018, it was estimated that there were over 300 animation, VFX, and post-production studios across Canada. According to Statistics Canada, ‘visual effects and animation services for audiovisual works’ contributed CAD$1.158 billion to the Canadian economy in 2021, up from CAD$651.4 million in 2015.[/ImageInfoWidget][ImageInfoWidget background_colour=”#eeeeee” attached_image=”111618″]Software Development – Revenue in the global software market is projected to reach USD$650.7 billion in 2023. Growing at a projected compound annual growth rate of 5.72%, the revenue is expected to reach USD$812.9 billion by 2023.
Canada is home to many major tech giants including Microsoft, Google, Amazon, Apple, Facebook, Cisco Systems, IBM, Hewlett Packard, and more.
Film and Television – Canada is a top international filming location. The country is so well-reputed in this respect that it has been nicknamed, “Hollywood North”, specifically in reference to Toronto and Vancouver. A multitude of famous films and television shows have been shot in Canada, for example, The Titanic, The Shape of Water, IT, Deadpool, Brokeback Mountain, and The Incredible Hulk.
Despite the industry operating at full capacity for only half of 2020/21 as a result of the COVID-19 pandemic, total production volume across Canada still reached CAD$9.3 billion, down only 2.4% from the year before.[/ImageInfoWidget]