UBC Program Fortifies Canada's Defence and Tech Sovereignty
- $67.5 million investment by Pacific Economic Development Canada (PacifiCan) into B.C.'s defence sector
- 60 ventures expected to be supported over the first three years of the program
- CDL-Vancouver has supported 420 ventures generating over $6.6 billion in equity value
Experts view the UBC Scale Up Program as a critical step in strengthening Canada's defence and tech sovereignty by accelerating high-potential ventures into strategic industrial markets.
UBC Program Fortifies Canada's Defence and Tech Sovereignty
VANCOUVER, BC – May 13, 2026 – Against the backdrop of the global technology convergence at Web Summit Vancouver, the UBC Sauder School of Business has launched a pivotal new initiative aimed at bolstering Canada's industrial capacity and technological sovereignty. The new Scale Up Program, unveiled today, is designed to accelerate high-potential Canadian companies into the complex but critical defence, dual-use, and advanced industrial markets.
Led by the same team that operates the highly successful Creative Destruction Lab (CDL)-Vancouver, the program is a direct response to a sharpened national focus on building domestic capabilities. As geopolitical tensions rise and supply chains are re-evaluated globally, Canada is making a concerted effort to cultivate homegrown innovation, particularly in strategic sectors like artificial intelligence, autonomy, cybersecurity, and advanced manufacturing. The Scale Up Program positions itself as a key instrument in this national project, aiming to transform promising ventures into robust, scalable enterprises capable of competing on the world stage.
A Strategic Push for Technological Sovereignty
The launch of the Scale Up Program is not happening in a vacuum. It aligns directly with a sweeping overhaul of Canada's national defence and industrial policy. The government recently unveiled its Defence Industrial Strategy (DIS), a framework that prioritizes building critical technologies within Canada first. This strategy, coupled with the creation of new bodies like the Defence Investment Agency (DIA) and the BOREALIS research bureau, signals a clear intent to cut through procurement red tape and fast-track domestic innovation.
This national strategy seeks to address a long-standing challenge: ensuring that Canadian-made technology can be deployed to protect Canadian interests. The Scale Up Program targets ventures working on the very technologies at the heart of this strategy. By focusing on AI, sensing, robotics, and cybersecurity, it aims to cultivate a new generation of companies that can contribute to both national security and economic resilience. These dual-use technologies, with applications in both commercial and defence sectors, are seen as essential for future economic growth and strategic independence.
The federal government has thrown its weight behind such initiatives, viewing them as crucial for national development. "The Government of Canada is making generational investments in defence, and British Columbians are ready to deliver," said The Honourable Gregor Robertson, Minister responsible for Pacific Economic Development Canada (PacifiCan). "We are helping some of Canada's most promising defence and dual-use innovators unlock new opportunities, integrate into allied supply chains, and bring Canadian technology to the world. These investments strengthen our sovereignty, create good jobs, and build a more resilient economy for B.C. and Canada."
Bridging the Valley of Death for Defence Startups
For decades, Canadian tech startups with defence applications have faced a perilous journey known as the "valley of death"—the gap between developing a successful prototype and securing a major procurement contract. These companies often grapple with multi-layered procurement processes, notoriously long sales cycles that can stretch for years, and difficulty integrating into supply chains dominated by established global primes.
Research has shown that Canada's military procurement system can take an average of 16 years to acquire major equipment, a timeline that is untenable for agile, cash-conscious startups. The Scale Up Program is specifically engineered to bridge this gap. It provides founders not just with generic business advice, but with targeted mentorship from senior operators, procurement specialists, and industry leaders who have successfully navigated these complex ecosystems.
Selected ventures will receive intensive support, including commercialization and procurement readiness programming, leadership development, and training in AI adoption and deployment. Crucially, the program offers curated introductions to a network of corporate, government, and allied partners, providing direct access to the decision-makers and buyers that startups struggle to reach. By demystifying the procurement process and connecting innovators with end-users, the initiative aims to significantly shorten the path from lab to market.
Building on a Foundation of Venture Success
The Scale Up Program is not an experiment but an evolution. It is built upon the proven methodology of CDL-Vancouver, which since its inception in 2016 has established itself as a powerhouse in venture scaling. Operated by the UBC Sauder School of Business, CDL-Vancouver has supported over 420 ventures, which have collectively generated more than $6.6 billion in equity value.
This track record in translating deep-tech and science-based research into commercial enterprises provides a strong foundation of credibility. The program's objective-based mentorship model, which has been honed over years, will be adapted to the unique needs of the defence and dual-use sectors. An inaugural pilot cohort, which concludes on May 20, 2026, has already provided early validation of the model's effectiveness.
"Our pilot cohort has already demonstrated the potential of Canadian ventures to scale into defence and dual-use markets," noted Darrell Kopke, Executive Director at the UBC Sauder Scale Up Program. "We are excited to expand support and help more companies integrate into domestic and allied supply chains." Following the pilot, these founding teams will form a business-development delegation to CANSEC 2026, Canada's largest defence and security trade show, immediately putting their new skills and connections to the test.
A Coalition for Canadian Innovation
This ambitious initiative is underpinned by a powerful coalition of partners from government, industry, and academia. Foundational support comes from Pacific Economic Development Canada (PacifiCan), which is injecting $67.5 million into British Columbia's defence sector through its Regional Defence Investment Initiative. This funding is designed to build industrial capacity and research infrastructure, with a significant portion allocated directly to UBC.
Another key partner is the Business Development Bank of Canada (BDC), which has expanded its Defence Platform to mobilize up to $6 billion for Canadian companies in the sector. BDC's partnership with the broader CDL network and its dedicated StrongNorth Fund for deep tech ventures align perfectly with the Scale Up Program's mission.
"Canada's ability to build, scale, and deploy critical technologies—including those with dual‑use applications—will define its leadership in defence and across allied markets," stated Peter Dawe, Vice President of Defence Strategy at BDC. "Initiatives like UBC Sauder's Scale Up Program are exactly what BDC's Defence Platform is designed to support, helping companies navigate procurement, integrate into supply chains, and deliver at home and internationally."
With additional support from Innovate BC and the law firm Fasken, the program represents a coordinated, ecosystem-wide effort. Over its first three years, it is expected to support approximately 60 ventures, with a goal of accelerating commercialization, attracting significant private investment, and deepening the integration of B.C. companies into the global supply chains of Canada and its allies.
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