Sub Markets

Property Sectors

Topics

Canada CRE News In Your Inbox.

Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.

New call-to-action
New call-to-action
Canada  + Digital Infrastructure  | 

Canada’s Digital Infrastructure at a Crossroads

(Brian Klebash is Connect CRE’s director of research. He co-ordinated the Fast Track Survey conducted at Connect’s North American Investment in Digital Infrastructure & AI conference in Montreal.)

By Brian Klebash

Canadian digital-infrastructure development has reached a crossroads, say data-centre industry leaders surveyed at Connect CRE’s North American Investment in Digital Infrastructure & AI conference in Montreal.

The survey results highlight critical barriers and showcase innovative solutions to keep Canada competitive in a fast-evolving digital landscape.

Connect CRE, a leading business media and research firm specializing in commercial real estate, convened 325 senior-level executives for the event held February 11. The event provided a unique platform for industry leaders to discuss current trends, urgent barriers, and forward-thinking solutions.

This high-level gathering highlighted the need for collaborative solutions and strategic investments to address the sector’s most pressing obstacles and reinforce Canada’s global competitiveness. Expert panels and real-time executive feedback generated actionable intelligence for industry stakeholders and policymakers.

Connect CRE’s mission is to deliver actionable insights and drive innovation across Canada’s digital-infrastructure sector.

Participants comprised a broad cross-section of the industry, including data-centre operators, utility executives, investors, technology providers, and policymakers.

Connect CRE’s inaugural Fast-Track Survey captured the perspectives of top executives on the most urgent issues facing Canada’s digital infrastructure.

The survey asked attendees:

What do you see as the most critical barrier threatening the future competitiveness of Canada’s digital infrastructure landscape?

Surey participants were given the option of choosing from five multiple-choice responses.

Key survey findings include:

• Of those surveyed, 47% consider prioritization by Canadian utilities and allocation of grid capacity to be the most critical barrier to competitiveness for digital-infrastructure firms.

• According to 27% of respondents, regulatory complexity and government red tape pose the next most pressing challenge.

• A total of 14% surveyed believe that risks of overbuilding remain a concern.

• And, 12% view meeting the need for speed and scalability to support AI-driven expansion as a significant issue.

• Loss of data sovereignty is not a primary threat.

Connect CRE also invited attendees to submit anonymous, actionable recommendations for overcoming these challenges. Their responses called for transformative action, ranging from government reform to investment in new technologies and grid solutions.

Survey participants also answered:

If you could implement one transformative solution to overcome this challenge, what would it be?

Key suggestions from executives included:

“Grid capacity is not unique to the data-centre industry. It must be addressed with a broader perspective by decision-makers at all levels of government. Listening to diverse industries and business leaders, then implementing real changes, is the only practical way to enhance Canada’s competitiveness—our sector included.”

“Mandate increased adoption of behind-the-meter energy solutions within the digital- infrastructure market.”

“Develop innovative strategies to reduce the carbon footprint of data centres, fostering greater social acceptance and community support.”

“Eliminate red tape in all aspects of industry.”

“Increase collaboration between key stakeholders and municipal governments to streamline project development and approvals.”

“Establish technology advancement as a national imperative to drive long-term competitiveness and growth.”

“Dedicate power grid resources to meet digital-infrastructure demand, and accelerate adoption of new energy technologies like solar and nuclear small-modular reactors (SMRs).”

“When new power demand arises for large developments, use this opportunity to build data centres whose heat output can support district heating and cooling systems—maximizing the efficiency and dual use of electricity.”

“Canada must prioritize building a robust national fiber backbone, connecting power generation hubs with high-speed links. This will enable data centers to locate closer to critical power sources. Access to power, connectivity, and a sovereign software stack are essential for an independent Canadian digital infrastructure ecosystem, supporting all digital services—not just AI.”

“Permit data-centre operators to build and operate their own power plants, enabling greater self-sufficiency and resilience.”

Pictured: Panelists at Connect’s North American Investment in Digital Infrastructure & AI conference in Montreal.

Connect

Inside The Story

Brian Klebash

About Monte Stewart

Monte Stewart serves as Content Director - Canada for Connect Commercial Real Estate. Based in Vancouver, British Columbia, Monte provides daily news coverage of major Canadian commercial real estate markets, including Vancouver, Toronto, Montreal and Calgary. He has written about the real estate sector for various media outlets and Avison Young since the early 2000s. In addition, he has covered sports, general news and business for several leading wire services and publications, including The Canadian Press, The Associated Press, The Calgary Herald, The Globe and Mail, Research Money, The Daily Oil Bulletin, Natural Gas World and The Toronto Star. Monte is active in his community as a youth basketball coach and raises funds for such charitable causes as Movember.

  • ◦Development
  • ◦Policy/Gov't
New call-to-action
New call-to-action