CCI's Address to the Standing Committee on Finance

On May 28, CCI Director of Federal Affairs Daniel Perry appeared before the House of Commons Standing Committee on Finance. Daniel shared the perspective of CCI members and outlined four recommendations to help Canadian technology companies scale, compete globally and remain headquartered in Canada.

Daniel was joined by Laurent Carbonneau, Vice President of Policy and Advocacy at CCI.

Watch Daniel’s prepared remarks here:

Good morning, Chair and committee members. Thank you for the opportunity to appear today.

My name is Daniel Perry. I am the Director of Federal Affairs with the Council of Canadian Innovators. I am joined by my colleague Laurent Carbonneau, our Vice President of Policy and Advocacy.

The Council of Canadian Innovators is Canada’s 21st-century business council. We represent more than 175 Canadian-headquartered, high-growth technology firms operating in sectors including artificial intelligence, digital infrastructure, advanced manufacturing, defence and other dual-use technologies.

Our members are building businesses here in Canada, selling into global markets and competing every day for customers, capital and talent. They are exactly the type of firms Canada needs more of if we want to grow our economy, raise wages and increase our tax base.

Canada is operating in a global environment where economic policy, industrial strategy and national security are becoming increasingly connected. Leading economies are no longer treating innovation policy as a narrow research file. They are using procurement, capital, trade policy, immigration, standards and national security as tools to shape markets and build domestic capacity.

We do not have to look far to see this in action. As outlined most recently in the United States National Security Strategy, the United States is treating technology leadership, control over critical technologies and economic strength as sources of geopolitical power.

At the same time, the global economy is becoming increasingly driven by intangible assets. This includes data, intellectual property, algorithms and know-how. This is where value is being created, and those who capture it are leading. Intangible assets now account for roughly 92 per cent of the value of companies listed on the Standard & Poor’s 500 Index and are approaching $100 trillion in global value.

Canada needs to respond to this new reality. We have world-class researchers, strong entrepreneurs and companies with global potential.

The challenge is that too many of these firms struggle to scale and grow here in Canada. The barriers are well known: access to customers, capital and talent. When these barriers are not addressed, Canadian companies are forced to scale within systems defined by others. The result is that intellectual property, data, decision-making and long-term economic value move outside the country.

To address this, our pre-budget submission sets out four key recommendations.

First, Canada should use public procurement as a strategic economic policy tool. Government is one of the largest buyers in our economy, but we do not use that purchasing power effectively to validate Canadian technology, create early customers and help our firms compete globally.

Buying Canadian should mean just that. It should mean buying from companies that are economically Canadian. Procurement decisions should account for intellectual property, data, domestic economic activity and Canadian control.

Second, Canada should build sovereign artificial intelligence and defence capacity here at home. Compute, cloud infrastructure, data, software and artificial intelligence systems are fundamental parts of a modern economy. In defence and other sensitive sectors, Canada cannot afford to depend on foreign-controlled systems that it cannot maintain, upgrade or operate independently.

Third, Canada must strengthen its innovation capital stack. The gap is most acute at later stages of growth, when Canadian firms become increasingly dependent on foreign capital. With foreign capital come risks, including relocation, acquisition and the loss of Canadian intellectual property.

Budget 2026 should focus government-backed capital on Series B and later funding rounds. It should also introduce a Canadian tax incentive modelled on the United States Qualified Small Business Stock exemption to help Canadian companies remain headquartered here and raise more capital at home.

Fourth, Canada should modernize how it attracts high-potential founders. A more reliable Start-up Visa Program tied to business performance, job creation and intellectual property retention would help ensure that entrepreneurs can access the talent they need to build their companies here.

We must also be mindful that the upcoming review of the Canada-United States-Mexico Agreement is taking place in the background of this discussion. The review will help shape rules governing data, digital trade, standards and market access. Canada must ensure that firms building the 21st-century economy are represented in these conversations.

Budget 2026 is an opportunity to move beyond the fragmented measures we have seen to date. Canada should align its economic, industrial, trade and national security tools around one common objective: helping Canadian firms build, scale and ultimately stay here.

Thank you. I look forward to your questions.
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About the Council of Canadian Innovators (CCI)

The Council of Canadian Innovators (CCI) is Canada’s business council for the 21st century economy. We are a collective of over 175 of Canada’s fastest-growing and most ambitious companies, and the founders, CEOs, and executives behind them, working together to improve the business conditions that help more homegrown companies scale, compete globally, and drive long-term prosperity. Learn more at canadianinnovators.org.