Canada AI Compute Projects in B.C.

Canada is making significant strides in AI compute capacity with major projects in British Columbia, led by Bell and Telus. These initiatives aim to strengthen the nation’s sovereign AI capabilities and foster growth in the AI economy. As AI technology becomes increasingly crucial, Canada’s investment in domestic compute infrastructure is seen as a strategic move to secure its position in the global AI landscape.

Sovereign AI compute, which refers to a country’s domestic AI processing power, has become a priority for Canada. This focus was highlighted at the recent Web Summit conference in Vancouver, where industry leaders discussed the importance of building robust AI infrastructure within national borders. With trade tensions and geopolitical instability on the rise, having reliable AI compute capacity at home is more important than ever.

The Need for Domestic AI Compute

Canada currently lags behind in AI compute capacity compared to other nations. According to Gail Murphy, vice-president of research at the University of British Columbia, Canada has some AI computing resources, but they are not sufficient to meet the growing demands. Universities and research institutions have limited access to large-scale compute power, which is essential for advancing AI development and supporting small- and medium-sized enterprises.

"It’s crucial for Canada to build its AI compute capabilities at home," said Murphy. "With the uncertainties in global trade and technology, having sovereign control over our compute resources ensures stability and independence in our AI initiatives."

Bell’s AI Fabric Initiative

Bell Canada has launched AI Fabric, a network of six data centres in B.C., positioning it as the largest AI compute project in the country. The first two data centres, each with a capacity of seven megawatts, are set to open in Kamloops and Merritt by the end of 2024. These facilities will use advanced data processing technology from Groq to support research institutes and businesses requiring high-performance computing.

By 2026, Bell plans to expand its AI Fabric with two additional data centres in Kamloops, each designed to use 26 megawatts of power. The company is also in the planning stages for two more centres, each with a capacity of 200 megawatts. CEO Mirko Bibic emphasized that these investments will significantly bolster Canada’s AI compute capacity and drive economic growth in the AI sector.

Telus’ AI Factory in Kamloops

Telus has announced plans to establish a supercomputer-powered data centre in Kamloops, dubbed the AI factory. This initiative is part of the company’s $15 billion capital spending plan for B.C. The AI factory will provide customers with the computing power needed to grow and compete in the global AI market.

"Our AI factory will be a cornerstone for innovation in Canada," said Telus chief information officer Hesham Fahmy. "By offering cutting-edge compute resources, we are enabling businesses to leverage AI technology and drive growth in the digital economy."

Why Kamloops?

Bell and Telus have chosen Kamloops as the location for their AI data centres due to its strategic advantages. The city’s stable climate and low risk of natural disasters make it an ideal site for critical infrastructure. Additionally, Kamloops is a hub for Canada’s fibre optic cable network, ensuring minimal signal delays and reliable connectivity.

The city’s proximity to major urban centres like Vancouver, Calgary, and Seattle, combined with its lower cost of living, makes it an attractive location for recruiting skilled employees. Kamloops also benefits from access to B.C. Hydro’s grid, providing a stable and renewable energy source for the data centres.

Commitment to Clean Energy

Both Bell and Telus have emphasized the clean energy aspects of their AI projects. Telus has committed to powering its AI factory with 99% renewable energy, while Bell’s data centres will be powered by hydroelectric energy from B.C. Hydro. These initiatives align with the province’s commitment to increasing its renewable energy sector and reducing carbon emissions.

"By investing in clean energy solutions, we are not only advancing AI technology but also contributing to a more sustainable future," said Jobs Minister Diana Gibson. "These projects demonstrate our dedication to innovation and environmental responsibility."

The Future of AI Compute in Canada

The investments by Bell and Telus mark a significant step forward for Canada’s AI compute capacity. As the demand for AI technology continues to grow, these projects will play a critical role in supporting research, innovation, and economic development.

"Canada has the potential to become a global leader in AI," said Handol Kim, CEO of Variational AI. "By building a strong sovereign AI compute infrastructure, we are positioning ourselves to compete on the world stage and drive advancements in this transformative technology."