Regional Defence Investment Initiative funding will advance made-in-Canada defence solutions to strengthen national security and defence industry capacity

CALGARY, AB, May 12, 2026 /CNW/ - Today's complex and unpredictable global security environment demands that Canada makes sustained and strategic investment to strengthen the Canadian Armed Forces and ensure that the nation can protect its sovereignty. With the first ever Defence Industrial Strategy – a plan to align long-term federal defence investments with defence industry capability – the Government of Canada is helping Alberta businesses develop Canadian-made defence technologies, strengthen domestic manufacturing capacity, and build more resilient supply chains, all while creating quality jobs for Canadians.

Today, Corey Hogan, Member of Parliament for Calgary Confederation and Parliamentary Secretary to the Minister of Energy and Natural Resources, on behalf of Eleanor Olszewski, Minister of Emergency Management and Community Resilience and Minister responsible for Prairies Economic Development Canada (PrairiesCan) announced a combined federal investment of more than $9.3 million through the Regional Defence Investment Initiative (RDII). This funding will generate economic activity for Alberta businesses while strengthening Canada's national defence and security supply chain.

Funding will help six Alberta-based small and medium-sized businesses bring cutting-edge defence technologies to market, accelerate dual-use innovations, and reinforce Canada's position as a leader in producing defence solutions. A full list of projects receiving PrairiesCan investment can be found in the associated backgrounder.

Over the past year, the Government of Canada has moved at unprecedented speed and scale to deliver on its plan to rebuild, rearm and reinvest in the Canadian Armed Forces and our defence industrial sector. It's how Canada has delivered on a core objective of its plan to achieving the NATO 2% defence spending target this year, half a decade ahead of schedule. Beyond enhancing military readiness, Canada's historic defence investment – including RDII investments announced today – is driving innovation, growing the defence industrial base, and creating long-term prosperity for Canadians.

Quotes

"Canada's sovereignty and security depend on a strong and resilient domestic defence industry—and Alberta and the Prairies are at the heart of that effort. With world-class expertise in advanced manufacturing, energy, and innovation, Prairie businesses are uniquely positioned to deliver the made-in-Canada solutions our country needs. By investing in home-grown technologies right here in Alberta, we are strengthening our national defence industrial base, creating good jobs, and ensuring Canadian companies can provide secure, reliable equipment for the Canadian Armed Forces—today and for the future."
–The Honourable Eleanor Olszewski, Minister of Emergency Management and Community Resilience and Minister responsible for Prairies Economic Development Canada (PrairiesCan)

"Alberta is playing an increasingly important role in Canada's growing defence manufacturing sector. Calgary businesses have the skills, expertise and drive to scale-up to meet Canada's national security needs. Today's investment through the Regional Defence Investment Initiative will help innovative area companies expand production of Canadian military equipment, strengthen supply chains and increase resilience in the defence sector."
–Corey Hogan, Member of Parliament for Calgary Confederation and Parliamentary Secretary to the Minister of Energy and Natural Resources

"Recognizing the very stringent vetting and prioritization process that has gone into selecting RDII recipients, all of us at VizworX are extremely proud to have been selected for this support. We are excited to be able to accelerate the development and deployment of our Virtual Operations Environment (VOE), a Virtual Reality-based Command and Control solution, in support of the needs of the Canadian Armed Forces and our NATO allies. As a true dual-use solution, VOE will also enable significant enhancements to emergency and disaster response planning and logistics globally."
–Jeff LaFrenz, President, VizworX

Quick facts

• The Canadian defence industry contributes nearly $10 billion to our gross domestic product and supports more than 81,000 jobs.
• Increasing investments in core military capabilities, building up Canadian industry, and dual-use investments are putting Canada on a pathway to meet the new North Atlantic Treaty Organization Defence Investment Pledge to invest 5% of gross domestic product by 2035.
• Approximately $63 billion in 2025–26 was spent on defence across the Department of National Defence, the Canadian Armed Forces, the Canadian Coast Guard, and other government departments. These investments deliver tangible progress across personnel, infrastructure, equipment, and operational priorities.
• The RDII is a three-year $379.2 million national program delivered by Canada's seven Regional Development Agencies that aligns with the Defence Industrial Strategy, advancing Canada's ability to rebuild, rearm, and reinvest in its military while strengthening supply chains, readiness, and international partnerships.
• PrairiesCan continues to accept RDII applications from eligible businesses and organizations operating across the Prairie provinces.

Backgrounder

PrairiesCan announced investments for six repayable projects under the Regional Defence Investment Initiative (RDII): The RDII is a $379.2 million, three-year national initiative delivered by Canada's seven Regional Development Agencies (RDAs). The RDII is part of the Government of Canada's first Defence Industrial Strategy, which aligns long-term federal defence investments with Canadian industrial capabilities. The RDII will help to accelerate the integration of businesses, focusing on small and medium-sized enterprises (SMEs) and regional ecosystems, into defence supply chains and strengthen their industrial and innovation capacity in support of Canada's defence and security needs.

Today, PrairiesCan announced $9,300,900 in repayable RDII investment for six projects in Alberta.

• 3-Ci Manufacturing, $300,900 in repayable funding
  Expand production capacity to better serve Canada's growing defence industrial base with their military grade cable and wiring systems. This project supports the company's strategic growth plans in the defence sector and will strengthen service to new and existing customers, creating economic value through new equipment investments and expanded business channels. PrairiesCan is providing $300,900 in repayable funding.
• Canadian UAVs, $3M in repayable funding
  Deliver a fully deployable drone platform and intelligence suite that provides reconnaissance and situational awareness that can be used in defence and security applications. Canadian UAVs unmanned aerial vehicles offer cost-effective, long endurance drone solutions that can operate Beyond Visual Line of Sight. PrairiesCan is providing $3 million in repayable funding.
• Microlynx Systems, $2M in repayable funding
  Improve the reliability and performance of high-power radio frequency amplifiers that support Arctic domain awareness, specifically advancing the transmit power amplifiers used in Canada's Polar Over the Horizon Radar (POTHR). By reducing sustainment demands and improving uptime across northern installations, the project will lower lifecycle costs and directly support NORAD modernization and early warning capabilities. PrairiesCan is providing $2 million in repayable funding.
• MRO Electronic Supply, $1M in repayable funding
  Launch the Defence Capacity Expansion Project (DCEP) to generate national, provincial, and regional economic benefits by creating and retaining highly skilled technical and engineering roles in advanced manufacturing, quality assurance, and defence electronics. The project will strengthen domestic production of mission critical components, support workforce upskilling, and drive regional growth through facility modernization and expanded procurement. PrairiesCan is providing $1 million in repayable funding.
• Technalogix, $1M in repayable funding
  Design, build and test high-frequency power-amplifier products that can be used to monitor airspace and waterways across large geographical areas and in harsh conditions, including Canada's Arctic. Technalogix's systems are engineered to provide accurate and reliable monitoring through continuous operation and in extreme environmental conditions. PrairiesCan is providing $1 million in repayable funding.
• VizworX, $2M in repayable funding
  Commercialize their Virtual Operations Environment (VOE) platform from an advanced prototype to a deployable defence system. VOE operates as a mobile control room by integrating maps, live feeds and data tracking into a collaborative 3D closed communication environment aiding in the planning of missions, assigning of tasks and progress monitoring. PrairiesCan is providing $2 million in repayable funding.

Associated links

• Prairies Economic Development Canada (PrairiesCan)
• Regional Defence Investment Initiative (RDII) in the Prairie provinces
• Defence Industrial Strategy – News release
• Prime Minister Carney announces Canada has achieved the NATO 2% defence spending target – News release

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SOURCE Prairies Economic Development Canada