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PacifiCan invests $13.8 million to advance defence innovation in AI and aerospace in British Columbia Français


News provided by

Pacific Economic Development Canada

Mar 31, 2026, 17:48 ET

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NORTH SAANICH, BC, March 31, 2026 /CNW/ - In today's rapidly changing world, Canada is making major investments to protect our sovereignty, strengthen security and create prosperity. Last week, Canada confirmed it has achieved the NATO 2% defence expenditure target, the largest year-over-year increase in defence spending in generations. PacifiCan is playing a key role in that effort by investing in world-class researchers and innovators in B.C. to advance defence technologies that protect Canada.

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Person working on an aircraft. Text reads: PacifiCan invests $13.8 million to advance defence innovation in AI and aerospace in British Columbia. (CNW Group/Pacific Economic Development Canada)
Person working on an aircraft. Text reads: PacifiCan invests $13.8 million to advance defence innovation in AI and aerospace in British Columbia. (CNW Group/Pacific Economic Development Canada)

Today, Will Greaves, Member of Parliament for Victoria, on behalf of the Honourable Gregor Robertson, Minister of Housing and Infrastructure and Minister responsible for Pacific Economic Development Canada (PacifiCan), announced an investment of over $13.8 million in five B.C. projects through the Regional Defence Investment Initiative. These investments advance cutting-edge technologies in artificial intelligence (AI) and aerospace – sectors where B.C. is a recognized leader.

This announcement was held at the University of Victoria's (UVic) Centre for Aerospace Research, which is receiving a $4 million investment to establish a satellite ground station and expand testing facilities for the development and commercialization of aerospace and digital technologies. This shared infrastructure will allow businesses to test, validate, and deploy new technologies, driving innovation in B.C.'s defence sector.

A $1.4 million investment will see UVic's Advanced Control and Intelligent Systems Lab develop an AI-powered drone system for autonomously mapping structures and terrain in high resolution. This innovative technology will provide critical support in both civilian and defence applications, like environmental monitoring, disaster response and surveillance.

Beyond the lab, B.C. companies are already deploying AI and aerospace technologies in real-world applications. As part of this announcement, PacifiCan is also investing:

  • Over $3 million in Arcane Aerospace to develop next-generation satellite technology for in-orbit operations.
  • Over $2.4 million in Atreides to commercialize an AI-enabled software platform that improves how unmanned systems gather, share, and analyze data across air, land, and water.
  • Over $2.8 million in OSI Maritime Systems to improve the AI-augmented Collision Avoidance Decision Aid (CADA) software that keeps vessels safe in challenging conditions.

More details about the five projects announced today can be found in the backgrounder below.

These investments support Canada's strategy to build a strong and sovereign country by connecting local researchers and businesses to opportunities in global supply chains. They also build on defence announcements made by PacifiCan in February 2026, strengthening Canada's security while creating good jobs and long-term economic opportunities for British Columbians.

New defence-related funding available

PacifiCan is accepting applications for the Regional Defence Investment Initiative until April 15, 2026. Small and medium-sized businesses with technologies with defence and dual-use applications are encouraged to apply and join the growing community of B.C. innovators strengthening Canada's security. To learn more, visit PacifiCan's website.

Quotes

"British Columbia has the talent, innovation and expertise to help protect Canada and our Allies. By investing in AI and aerospace innovation here on Vancouver Island and across the province, we're giving researchers and businesses the tools they need to seize defence industrial opportunities, protect our sovereignty, and help build one strong Canadian economy."

-The Honourable Gregor Robertson, Minister of Housing and Infrastructure and Minister responsible for Pacific Economic Development Canada

"Keeping Canada secure means investing in Canadian talent and technology. These investments are targeted, strategic actions that will turn home grown ingenuity into real defence capability. We're building it here, buying it here, and keeping Canada strong."

-The Honourable Stephen Fuhr, Secretary of State for Defence Procurement

"Greater Victoria is home to world-leading researchers and innovative companies whose work is directly advancing Canada's security. These investments in AI and aerospace will create good jobs and capabilities right here in our community, while ensuring Canada has the technology needed to protect Canadians for generations to come."

-Will Greaves, Member of Parliament for Victoria

"UVic research in aerospace is advancing technologies that support small- and medium-sized businesses here in Canada. Our partnerships create new ways to monitor the environment and support solutions for the safety and security of communities."

-Dr. Lisa Kalynchuk, Vice-President of Research & Innovation, University of Victoria

Quick facts

  • The Regional Defence Investment Initiative (RDII) is a national, three-year $379.2 million initiative delivered through Canada's Regional Development Agencies.
  • PacifiCan is delivering $67.5 million through RDII in British Columbia over three years, beginning in 2025 to 2028.
  • RDII strengthens defence and dual-use industries by building industrial capacity, research infrastructure, and supply chain readiness. Dual-use industries have both military and civilian uses.
  • Investments will help British Columbian businesses build capacity, strengthen supply chains, and advance technologies that support Canada's sovereignty, security, and economic resilience.
  • RDII is part of Canada's first Defence Industrial Strategy (DIS), which is investing an initial $6.6 billion to spark the Canadian industrial base and supply chains, beginning with $2.1 billion this year.
  • The DIS will create 125,000 high-paying careers, increase our defence exports by 50%, raise the share of defence acquisitions awarded to Canadian firms to 70%, and grow Canadian defence industry revenues by 240%.

Associated Links

  • PacifiCan
  • Regional Defence Investment Initiative in British Columbia
  • Defence Industrial Strategy
  • Prime Minister Carney announces Canada has achieved the NATO 2% defence spending target | Prime Minister of Canada
  • University of Victoria
  • Atreides
  • OSI Maritime Systems

Stay connected

Follow PacifiCan on X and LinkedIn

Toll-Free Number: 1-888-338-9378
TTY (telecommunications device for the hearing impaired): 1-877-303-3388

Backgrounder

Today, Will Greaves, Member of Parliament for Victoria, on behalf of the Honourable Gregor Robertson, Minister of Housing and Infrastructure and Minister responsible for Pacific Economic Development Canada (PacifiCan), announced an investment of over $13.8 million in five B.C. projects through the Regional Defence Investment Initiative. These investments advance cutting-edge technologies in artificial intelligence (AI) and aerospace – sectors where B.C. is a recognized leader.

Arcane Aerospace
$3,015,000

Arcane Aerospace will develop next-generation satellite technology for in-orbit operations. The project will support the continued modernization of Canada's defence capabilities and systems.

Atreides
$2,486,128

Atreides will commercialize an AI-powered software platform that improves how unmanned systems collect, share, and analyze data across land, air, and maritime environments. This will strengthen B.C.'s digital technology and defence sectors by advancing real-time intelligence and automation capabilities with applications in both civilian and defence markets.

OSI Maritime Systems
$2,878,677

OSI Maritime Systems will design, implement, and test an AI-driven Collision Avoidance Decision Aid that improves maritime safety by helping vessels detect hazards and make safer navigational decisions in complex conditions. This technology will strengthen B.C.'s robust marine sector by advancing innovative autonomous navigation capabilities for both military and commercial markets.

University of Victoria – Advanced Control and Intelligent Systems Lab
$1,431,500

The University of Victoria will commercialize an AI-powered drone system for autonomously mapping structures and terrain in high resolution. This innovative technology provides critical support in both civilian and defence applications, like environmental monitoring, disaster response and surveillance.

University of Victoria – Centre for Aerospace Research
$4,000,00

The University of Victoria's Centre for Aerospace Research will establish a satellite ground station and expand testing facilities for the development and commercialization of aerospace and digital technologies. This project will provide shared infrastructure that helps businesses test, validate, and deploy technologies that strengthen B.C.'s defence sectors.

SOURCE Pacific Economic Development Canada

Contacts: Renée LeBlanc Proctor, Senior Communications Advisor and Press Secretary, Office of the Minister of Housing, Infrastructure and Communities and Minister responsible for PacifiCan, [email protected]; Lynsey Brothers, Communications Manager, PacifiCan, [email protected]

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Organization Profile

Pacific Economic Development Canada

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  • Government of Canada strengthening industries and businesses in B.C.'s Southern Interior

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