Empowering Canada: 40 Years of Innovation, Growth, and Opportunity

By Matt Milton, President, Microsoft Canada

In 1985, we opened our first Canadian office in Mississauga with a small team and a big belief: that technology could empower people to achieve more.

Four decades later, that core belief remains at the heart of everything we do.

Today, with more than 5,300 full-time employees, 11 offices across the country, two Azure datacentre regions in Toronto and Quebec, and a network of more than 17,400 Canadian technology partners, Microsoft’s long-standing dedication to Canadian innovation has never been stronger.

Over the years, our mission has always been to ensure the foundation for cloud and AI adoption is strong and trustworthy that benefits all Canadians. That means delivering the security, data protections, infrastructure, and training to make AI accessible and useful to everyone while protecting Canadians sovereignty and right to privacy.

In partnership with great Canadian organizations, we have put down deep roots and are continuing to invest in the AI infrastructure that will support Canada as we build the future we collectively aspire to have.

We recognize the human aspect of this progress and remain committed to preparing Canadians with the skills they require to succeed in this changing environment and provide everyone the opportunity to benefit from this progress.

Finally, we are a group of Canadians who live in Canadian communities. Through cash donations, employee giving and discounted technology services to Canadian non-profits and charities, together in 2024 we donated over $219 million locally.

And, as we mark 40 years in Canada, we wanted to take a step back and understand how our presence has contributed beyond just business. That’s why we partnered with EY on the Microsoft Canada 2025 Economic and Social Impact Report.  These findings highlight the real progress happening across the country – from businesses embracing innovation to communities building the skills needed for an AI-enabled future. It’s a reminder that when we work together, we create meaningful impact.

Fueling Canada’s Digital Economy

Microsoft’s technology ecosystem is a key driver of economic opportunity across the country:

• $60 billion contributed to Canada’s GDP each year through our cloud customers and partner network
• 426,000+ jobs supported – over 2% of Canada’s workforce
• 17,400+ partner companies delivering Microsoft-powered solutions

From Canada’s largest banks like TD Bank Group, to Canadian healthcare institutions like The Ottawa Hospital and retail giants like Canadian Tire, organizations across the country are turning to Microsoft platforms to transform how they operate, fuel innovation, and stay secure in an increasingly complex digital world.

A Strong Foundation for Canada’s AI Transition

Seizing the AI opportunity starts with strong digital foundations. That’s why Microsoft is investing heavily in Canada’s AI infrastructure:

• We were the first hyperscale provider to launch local datacentre regions in Toronto and Québec City, enabling secure, scalable, and compliant AI adoption across industries.
• Since 2023, we’ve invested more than $828 million to expand our Azure public cloud and AI infrastructure in Québec.
• Our cloud platform—up to 93% more energy-efficient and 98% lower in carbon emissions than traditional datacentres—ensures that Canada’s digital growth is sustainable.
• With 2,700 engineers, Microsoft Vancouver – our research and development hub – stands as a testament to homegrown innovation. Alongside spaces like the Microsoft Reactor and our Innovation Hub in Toronto these centres are more than just buildings; they’re catalysts. They empower developers, startups, and enterprises to come together, experiment boldly, and help shape the future of AI right here in Canada.

This digital backbone is what enables businesses, researchers, and governments to deploy AI responsibly – and at scale.

Advancing Innovation with AI

A recent study shows that generative AI could contribute $180 billion in economic gains annually to Canada’s economy by 2030.

Canada is poised to lead in AI – and Microsoft is helping power that leadership.

Our technologies, including Microsoft Copilot, Azure AI, and GitHub Copilot, are transforming how Canadians work, create, and collaborate. The result? Up to $40 billion in annual economic gains for Canadian organizations – freeing up time and energy so people can focus on more meaningful work, enjoy what they do, and even pursue passions beyond the office.

We’re also working with innovators across the country to apply AI in meaningful ways:

• Hero AI has launched a use case to shorten hospital wait times and accelerate access to care with Azure-powered AI tools.
• The City of Kelowna is leveraging AI to provide better customer service and better information for citizens throughout the permitting process.
• Alberta Wildfire, in collaboration with AltaML and Microsoft, is harnessing AI to help predict and manage wildfires.

These examples are not only improving public services – they’re helping make communities more resilient, inclusive, and responsive to local needs.

Preparing Canada’s Workforce for the AI Economy

Technology alone doesn’t drive progress – people do.

That’s why we’re investing in the skills Canadians need to succeed in a digital economy. At Microsoft Canada, we’ve helped:

• Engage 5.7M Canadian learners in AI since July 2024
• Train 127,000+ Canadians through workforce development projects across Canada
• Nearly 20,000 public servants receive AI training through a collaboration with the Institute of Public Administration of Canada (IPAC) and KPMG

With partners like NPower Canada, March of Dimes and the Canadian Tech Talent Accelerator, we’re expanding access to training for underserved communities—ensuring a more inclusive, future-ready workforce.

A Trusted Approach to AI

As AI reshapes the world, Microsoft is focused on building it responsibly – with people, communities, and values at the core. Clear and consistent governance builds the trust needed for organizations to adopt AI at scale.

We’re also delivering real-world solutions that reflect those principles:

• The University of Waterloo has introduced JADA (Job Aggregator Digital Assistant), an AI-powered tool developed in collaboration with Microsoft and powered by Azure OpenAI Service, to assist co-op students in their job search.
• We partnered with the Government of Nunavut to build Inuktitut text-to-speech capabilities – helping to preserve Indigenous language through community-led innovation.

Tools like the Responsible AI Dashboard and Azure AI Studio are empowering Canadian organizations to build trustworthy AI – from first prototype to enterprise deployment.

Investing in What’s Next

From the cloud to the classroom, Microsoft’s commitment to Canada is built on partnership – and progress.

We’ve grown from a small office to a nation-spanning network of technologists, engineers, entrepreneurs, and educators all working toward a common goal: empowering every person and every organization in Canada to achieve more.

As we reflect on 40 years of collaboration, we remain committed to helping Canadians realize the full potential of technology: to innovate faster, compete globally, and grow more inclusively.

Read the full Microsoft Canada 2025 Economic and Social Impact Report to learn more about how we’re helping build a more connected, AI-powered future that works for all Canadians.