A new KPMG in Canada survey finds overwhelming support among business leaders for rapid yet flexible AI regulation and stronger government incentives to keep Canadian AI talent, research, and data at home.
In a poll of 750 executives, 92% urged Ottawa to establish a federal AI regulatory framework quickly, with a majority favouring an agile, light-touch approach aligned with global standards. Nearly all respondents (94%) emphasized the need for simple and enforceable rules to accelerate adoption, while 91% called for incentives to support AI adoption and cut regulatory red tape.
Executives also pressed for cross-border AI sandboxes, greater funding for digital infrastructure, and stronger measures to promote sovereign data initiatives. While supportive of the government’s pledged $2.5B investment in data centres and broadband, 88% said it falls short of Canada’s long-term needs.
The findings highlight growing urgency for Ottawa to strike a balance between mitigating AI risks and fueling growth. With the creation of Canada’s first Minister of Artificial Intelligence and Digital Innovation, business leaders see a unique opportunity to reclaim Canada’s early AI edge and strengthen competitiveness in the global digital economy.
