Within days of being sworn in as the 47th president of the United States of America, Donald Trump passed an executive order rescinding diversity, equity and inclusion initiatives within federal government entities. This pushback against anti-discrimination programs (which the White House paradoxically describes as “illegal discrimination”) has prompted several major American corporations, including Walmart, Amazon and PepsiCo., to scale back (and, in some cases, cancel) their own DEI efforts.
In Canada, tech leader Shopify has made significant cuts to its diversity programming, laying off employees working on social impact initiatives, such as support for Black, Indigenous and women entrepreneurs. In response, hundreds of leaders, investors and workers in Canada’s tech community have signed an open letter calling for industry peers to renew their commitment to DEI principles. “We urge all Canadians to stand up for equality and send a clear message: We do not support businesses that abandon these values,” reads the letter, endorsed by signatories that include “Dragon’s Den” investor Arlene Dickinson, Sprout Family’s Suze Mason and Willful’s Erin Bury.
According to Bury, CEO and co-founder of the online estate-planning platform, it was a “no-brainer” to add her name to the open letter. Her diverse team at Willful “reflects those who are directly affected by the rollback of these policies,” says Bury, who says she also signed the letter because of worries that these cuts could have a larger domino effect. “It may seem like a small thing for Canada’s biggest tech company to lay off 12 people responsible for supporting Black sellers, but that could be indicative of patterns to come,” she says. “We can’t wait until we’re a mini Trump’s America before we stand up and say something.”
It’s worth noting that Trump’s executive order is actually “very limited” and aimed at federal contractors, so there’s no obligation for people in the private sector to comply, notes Laura McGee, the CEO of Canadian consulting firm Diversio, which provides analysis and recommendations to companies that want to bolster inclusivity. So far, McGee has seen businesses across the U.S. and Canada maintain DEI efforts. Ultimately, she says, inclusion surveys, culture-building initiatives and mentorship programs are “necessary to keep a company strong.”
And amid the recent turbulence of on-again, off-again tariffs, a nascent North American trade war and the looming threat of annexation, DEI efforts have taken on a kind of symbolic weight for homegrown companies looking to double down on Canadian values. As McGee points out, embracing inclusivity can be a way to take a stand. “It’s the question most companies are asking themselves,” she says. “Do you want to follow what the President of the United States says versus what your country mandates?”
Building with bots
It’s been a busy time for AI innovators in Canada’s construction sector. Toronto-based Promise Robotics, whose tech automates the creation of building components, has just announced a new 60,000-square-foot warehouse in Calgary with advanced robotic production lines to expedite new-builds. The facility, which will begin operations this summer, has the capacity to produce as much as a million square feet of housing annually. Meanwhile, B.C.-based Novarc, which makes AI-powered robotic assistants, has just signed a partnership deal with Wisconsin welding gear company Miller Electric Mfg. Because Novarc’s tech is able to optimize welding parameters on the fly, it can seamlessly adapt to large steel components, which reduces costly manual adjustments and rework, says Debra Hadden, the company’s director of public relations. “It speeds up production, lowers costs and helps meet tight deadlines,” she notes. As well, because Novarc’s tele-welding capabilities allow operators to oversee projects remotely, these bots improve safety by minimizing human exposure to hazardous environments.
Dispersa closes seed round
Montreal-based startup Dispersa has closed a $5.8-million seed fundraising round, led entirely by Canadian investors. It’s a big win for the company, which makes waste-derived biosurfactants — cleantech ventures like Dispersa have been struggling to secure early-stage funding.
Rocket Doctor blasts off
Virtual care platform Rocket Doctor has been acquired by Treatment.com AI, and will now be a Medicaid-approved provider, giving more people access to remote health care.
By the numbers
200 megawatts: The capacity of a new North American Power-to-X plant slated to be built through a partnership between StormFisher Hydrogen and MAN Energy Solutions. The methanation reactor will have the potential to produce 50,000 tons of e-methane per year by converting wind- and solar-generated energy.
$1.7 million: The amount raised by Sprout Family in its recent pre-seed funding round. The company has developed a digital health platform focused on helping users access inclusive fertility care.
24: The number of AI companies in Toronto and Ottawa receiving funding from the Federal Economic Development Agency for Southern Ontario. A total of $32 million will be divided between the ventures, who will use the funds to further develop their tech. For instance, ACTO Technologies is receiving $3 million to help commercialize its generative AI software for the life sciences sector and Blue J will be directing $2 million toward expanding its AI tax research technology platform.
Rebecca Gao writes about technology for MaRS. Torstar, the parent company of the Toronto Star, has partnered with MaRS to highlight innovation in Canadian companies.