Navigating Federal SR&ED and Innovation Incentives in 2026
With the start of 2026, the landscape for Canadian innovation funding has fundamentally shifted. ...

Tech trends in Canada in 2025 are defined by powerful domestic innovation and a clear pathway to global leadership in key specialized fields. While the adoption of foundational technologies mirrors global trends, Canadian businesses are uniquely positioned to capitalize on their mature AI research ecosystem and an accelerating commitment to clean technology.
Artificial Intelligence remains the dominant force, but the shift in 2025 is toward practical commercialization of advanced models. The emergence of Agentic AI, autonomous systems capable of end-to-end task execution, is driving this transition.
A report from the Business Development Bank of Canada (BDC) found that the majority of Canadian businesses are already utilizing AI. And a staggering 97% of those businesses report seeing tangible benefits.
Canada’s robust research infrastructure, including the Vector Institute (Toronto) and Amii (Edmonton), provides a unique pipeline for AI talent and foundational models, directly feeding into commercial applications in finance and logistics (e.g., Element AI, Borealis AI).
The trend is toward AI that augments human skills, not replaces them. Generative AI is unlocking major productivity gains, especially in high-value services and knowledge work, allowing lean teams to maximize their output.
In a hyper-connected environment, data integrity and defense against sophisticated threats are paramount. Canadian organizations are prioritizing resilient architectures to protect sensitive data and intellectual property.
The increasing volume and sophistication of cybercrime necessitate a defensive rethink. Core trends include the widespread adoption of Zero Trust security models and the application of AI-driven threat detection to preempt complex breaches.
The reliance on third-party vendors for services is a major driver of increased cybercrime vulnerability. Tech companies operating in Canada, which often act as both consumers and providers of third-party services, are uniquely vulnerable, making supply chain security a top-of-mind concern.
With Canada’s focus on quantum technologies, the need for Post-Quantum Cryptography (PQC) is a strategic consideration, ensuring long-term data security against future quantum computing threats.
The Canadian focus on addressing climate change is intrinsically tied to its technological strategy. Making Clean Tech one of the most significant accelerants for innovation in 2025.
Clean technology will accelerate significantly in 2025, driven by climate concerns and governmental funding opportunities. This is fueling demand for roles like Renewable Energy Engineers and Environmental Engineers, which are among the fastest-growing jobs.
The trend includes not only renewable energy but also the application of technology to industrial processes. Examples include SmartAg (Smart Agriculture) and AI-optimized energy grids to improve efficiency and reduce the carbon footprint.
Businesses are actively exploring clean tech funding opportunities and looking for product-market fit that mitigates the risk of rising energy costs. This synergy of technology and sustainability is a key differentiator for the Canadian market.
For Canadian businesses, the strategic focus on Agentic AI commercialization and Clean Tech acceleration is more than a market choice, it’s a path that the government supports robustly.
The technical challenges inherent in creating next-generation cybersecurity protocols, deploying autonomous AI, or developing green technology solutions are precisely the activities the government aims to support.
Leyton is the partner that connects your technological ambition to Canada’s most powerful funding mechanisms. Our consultants work with your technical teams to capture eligible expenditures under the federal Scientific Research & Experimental Development (SR&ED) program . And various federal/provincial grants, including the Clean Economy Investment Tax Credits (ITCs).
We ensure your investments in a sustainable, secure, and AI-driven future are maximized for cash flow.
In 2025, aligning your innovation strategy with Canada tech trends 2025 can turn your R&D into your greatest financial asset. Let us help you unlock its full potential.
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