The Information Technology Landscape in Canada

 

About Canada

Telecommunication
Infrastructure

Privatization and Deregulation

Internet Activity

e-Commerce

Hardware Manufacturing
Software Development

IT Usage

IT Labor Market
IT Geographics
IT Financing
Government Policies
Legal Environment
Analysis : IT Strengths/ and Weaknesses
Analysis :Impacts on the Business
Sources and Links
About the authors

Analysis: IT Strengths and Weaknesses

Strengths and Competitive Advantage

  • Highly intelligent work force
  • Silicon Valley of Canada thriving - Kanata, Ontario
  • Concentration of IT – University of West Ontario and University of British Columbia at Vancouver
  • Primarily English-speaking
  • NAFTA – healthy relationship with US
  • IT has positive social impact on Canadians
  • Increase in use of Internet removing geographical boundaries
  • Increased desire for information
  • Government support of growth and testing, incentives
  • Infusion of IT into classroom, home
  • Sophisticated telecommunications infrastructure in place
  • Companies focusing on connecting rural communities
  • Deregulation in Telecom Industry
  • Competitive environment for companies
  • Entrance of small and mid-sized starter companies – healthy environment for growth
  • Many venture capital firms wanting to fund start-ups
  • IT leader in developed countries
  • Progressive Telecom Policy Environment
  • Public and Private Sector Partnerships
  • Aggressive push to help connect all Canadians to the latest voice, Internet, and video
  • Government realizes the importance of a truly connected society
  • Goal of Government: to make Canada the most connected nation in the world
  • Initiatives of the Government: The Community Access Program establishes Internet access sites in rural, remote and urban communities across Canada.
  • A cooperative initiative called SchoolNet brings the Internet into all 16,500 schools, 3400 libraries and 450 First Nations schools in Canada
  • CANARIE (Canadian Network for the Advancement of Research, Industry and Education) is working to improve the speed and quality of Canada’s telecom infrastructure. Its latest project is CA*net 3, soon to be the world’s first national optical research and development Internet.
  • Canada enjoys a positive environment for wages, energy and real estate. Canada offers high labor productivity and healthy labor relations, and our business services infrastructure is exceptionally efficient.
  • Canada has the lowest labor costs of all G7 countries, the lowest business construction costs, the lowest statutory benefit costs, and the lowest employer-paid benefits. Moreover, for six consecutive years, the UN Human Development Index has named Canada as possessing the best quality of life in the world.

Weaknesses

  • Canadians shop on US Internet Web-sites taking money from Canada's economy
  • Outsourcing in Canada because of favorable exchange rates; however, in the long run, exchange rates will even out
  • No interstate commerce law for telecommunications – several provinces own the telephone company and the commission is gaining control /power to deregulate except for local provinces
 

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The Kogod School of Business

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Sarah Alijani sa0565a@american.edu  &  Richard Wright rightrf@aol.com ________________________________________________________________________________________
Last update: December 17, 1999