Government of Canada supporting manufacturing and commercialization of semiconductors
News release
$120 million investment to help CMC Microsystems expand its network across Canada, creating jobs and fostering economic growth
July 4, 2024 – Montréal, Quebec
Canada continues to position itself as a global supplier of semiconductors, crucial for security, economy and technological progress. Semiconductors are critical to Canadians’ daily lives and for current and future innovations in nearly every industry: automotive, telecommunications, low-carbon technology, and more.
Today, the Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry, announced an investment of $120 million in an over $220 million project led by CMC Microsystems (CMC). This investment, made through the Strategic Innovation Fund, will support the creation of a pan-Canadian network bringing together stakeholders from a wide range of fields to support the design, manufacturing and commercialization of semiconductors and the development of state-of-the-art intelligent sensor technology.
CMC will support the creation of the Fabrication of Integrated Components for the Internet’s Edge (FABrIC) network, which will operate alongside CMC’s partners located across Canada. FABrIC is an initiative designed to strengthen the Canadian semiconductor and smart sensor industry by creating a talent pool of highly qualified people, encouraging innovation in the semiconductor manufacturing process, and providing Canadian businesses with access to foundries. Over the next five years, the FABrIC network will create close to 325 highly skilled jobs across Canada and maintain an estimated 440 jobs for the duration of the project.
With activities that will span across the country, FABrIC will ensure a strong domestic production of semiconductors. FABrIC will also improve North American competitiveness and supply chain resiliency, foster economic and national security, and create good middle-class jobs.
Quotes
“Semiconductors are at the centre of Canadians’ daily lives and Canada’s economy. We have an innovative semiconductor industry that continues to flourish in global markets and capitalize on an increasingly digital and green economy. The creation of FABrIC through CMC will help support Canadian innovators, and I look forward to seeing how it expands our semiconductor industry while creating good jobs. By investing in semiconductors today, we are investing in economic security and sustainability for all Canadians.”
– The Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry
“FABrIC provides Canadian entrepreneurs and researchers with essential resources to foster innovation and develop cutting-edge semiconductor products and manufacturing processes in Canada. We have world-class semiconductor talent and manufacturing capabilities in Canada, and ISED’s strategic investment in FABrIC will enable Canadian innovators to be competitive in the global semiconductor industry. Support for FABrIC secures Canada’s future in semiconductors and advanced manufacturing, and it will enable the development of new made-in-Canada semiconductor-based Internet of Things products and manufacturing options, creating a resilient and sustainable semiconductor ecosystem in Canada.”
– Gordon Harling, President and CEO, CMC Microsystems
Quick facts
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A semiconductor, often called a chip or microchip, is a material used for electrical conductivity. Its conductivity falls somewhere between a conductor and an insulator, which gives it the unique ability to control the flow of electricity in electronic equipment and devices.
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Founded in 1984, CMC Microsystems (CMC) is a not-for-profit organization that accelerates research and innovation in advanced technologies, including microelectronics, photonics, microelectromechanical systems, the Internet of Things, artificial intelligence, and quantum software and hardware.
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FABrIC is a five-year project, totalling over $220 million, led by CMC to secure Canada’s future in advanced semiconductor manufacturing and design.
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Canada’s semiconductor sector includes over 500 homegrown and multinational companies conducting research and development on, and manufacturing of, microchips. This base includes over 100 design firms, 30 applied research laboratories and 5 commercial facilities in areas such as compound semiconductors, microelectromechanical systems and advanced packaging.
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Demand for existing products and new innovations is expected to contribute to the continued growth of the global semiconductor market, which is forecast to expand from US$500 billion in 2020 to US$695 billion by 2025.
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This new Strategic Innovation Fund investment builds on the commitment announced by Prime Minister Trudeau and U.S. President Joe Biden in March 2023 to advance a cross-border semiconductor manufacturing corridor.
Associated links
Contacts
Audrey Milette
Press Secretary
Office of the Minister of Innovation, Science and Industry
audrey.milette@ised-isde.gc.ca
Media Relations
Innovation, Science and Economic Development Canada
media@ised-isde.gc.ca
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