Industry committee calls for sovereign data networks and Arctic investment to bolster national defence

The House industry committee is asking the federal government to boost investment in Arctic infrastructure, domestic data networks, and technology manufacturers as part of Canada’s strategy to modernize its defence industry. The committee released a report on March 24 calling for a shift in the country’s approach to national security and emphasizing that current procurement cycles are too slow to keep pace with modern digital threats. Among the report’s 20 recommendations are several calls for measures and investments the MPs say should strengthen the country’s capabilities in areas such as telecommunications and artificial intelligence (AI). A central theme of the committee’s formal recommendations is the establishment of secure digital infrastructure. To protect sensitive information from foreign interference, the report recommends that the government develop a plan to promote “sovereign capacities for data transmission and storage.” The committee also called for “sustained investment in northern and Arctic infrastructure.” Witnesses including Madeleine Redfern, chief operating officer of CanArctic Inuit Networks, and Ben Hendriksen, mayor of Yellowknife, told the committee during the study behind this report that telecommunications, transportation, and clean energy are “foundational infrastructure” and prerequisites for national security. Recognizing that the needs of northern communities often align with the military’s needs, the report states that such investments would serve overlapping purposes, supporting regional economic development and security at the same time. The report highlights that developments in advanced technologies such as AI, digital networks, and quantum computing often happen in civilian startups and smaller firms, rather than traditional defence contractors. The committee urges the government to support these “regional defence ecosystems and commercial manufacturing clusters,” so they can “capitalize on existing advantages in weapons systems, advanced manufacturing and emerging technologies such as quantum.” To maintain a technological edge, the committee recommends that Canada also prioritize the development of “core enabling technologies,” which includes AI, cybersecurity, software systems, and autonomous platforms. Recognizing the complexities of these technologies, the committee adds that the government should pursue discussions on the “ethics and use of autonomous weapons.” While the committee reached a consensus on most of its recommendations, a supplementary report from the Conservative Party proposed additional measures. The Tories recommended the government focus on redundant Arctic connectivity, including the installation of subsea fibre cables. Conservative members suggested that this infrastructure should be sensor-enabled to strengthen underwater surveillance and resilience, pointing to comments from Redfern that redundancy is essential to preserve failsafe communications in the event of damage to underwater infrastructure. The opposition also called on the government to work with territorial and Indigenous partners to create a “single, consolidated inventory of northern assets,” including telecommunications, transportation, and energy. They argued this tool is necessary to avoid “piecemeal spending,” and would address witness’ complaints that northern infrastructure projects often “proceed without a comprehensive understanding of existing assets and their condition.” news@thewirereport.ca

Industry committee calls for sovereign data networks and Arctic investment to bolster national defence

Regulatory |
By Wire Report Staff
|March 25, 2026

Unlock all the Canadian telecom, broadcasting and digital media news you need.

FREE TRIAL

SUBSCRIBE

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us

Industry committee calls for sovereign data networks and Arctic investment to bolster national defence

Regulatory | By Wire Report Staff |March 25, 2026

Unlock all the Canadian telecom, broadcasting and digital media news you need.

FREE TRIAL

SUBSCRIBE

‘Using new technology to commit old crimes’: Fraser defends C-16, says laws must be modernized to adapt to changing technology

‘Second-classness’ in wholesale internet: Independent ISPs hope Bell-Telus dispute will prompt service standards reform

FCC inquiry into sports streaming unlikely to be duplicated in Canada, says longtime sports journalist

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us

Regulatory |
By Wire Report Staff
|March 25, 2026