Toronto is considered the “tech capital” of Canada due to several key factors: a developed technology infrastructure, a growing number of specialists, support for startups and innovations, and the hosting of international technology events. Today, we will explore each of these criteria in detail. More at toronto-future.
Developed Technology Infrastructure
A diverse, talented, and promising workforce, along with leading research and development, have made Toronto a global hub for technology and innovation. The city is home to Canada’s largest tech centre and the third-largest in North America. This tech centre unites 24,000 companies and 289,000 professionals in the technology sector.
The number of people working in technology-related fields has grown by more than 25% over the last five years – the best growth rate in North America. The San Francisco Bay Area, Toronto, and Montreal have become leaders in tech job creation. Furthermore, Ontario’s colleges and universities are among the best and most innovative in the world. Governments at all levels are creating aligned strategies to prepare students for success in a dynamic economy that demands highly skilled professionals for work in technological fields. Overall, Canada leads the G7 countries in the educational attainment of its workforce. 67% of Toronto’s population has a post-secondary education. Students are excelling in programs related to knowledge-based and technology businesses. And the number of graduates with STEM degrees in Toronto surpasses the figures for San Francisco, Boston, Austin, and other Canadian regions.
Canada also has a long history of supporting research in artificial intelligence. The Toronto-based Canadian Institute for Advanced Research (CIFAR) first introduced its “Artificial Intelligence, Robotics, and Society” program in 1983. As of 2025, CIFAR is leading the Government of Canada’s $440 million Pan-Canadian Artificial Intelligence Strategy. This is the world’s first national AI strategy, aimed at supporting research and developing talented Canadians.
Additionally, Toronto residents are successfully developing numerous programs in applied artificial intelligence to meet the demand for specialists in this field. Major international companies are establishing research labs specifically in Toronto to leverage its deep knowledge base for developing new commercial applications. The Vector Institute for Artificial Intelligence has solidified the Toronto region’s status as a global epicentre for AI research and development (with over $120 million USD in public and corporate funding). Samsung chose Toronto to host one of its three new global AI research labs. The facility is located in the MaRS Discovery District and is led by Dr. Sven Dickinson from the University of Toronto, an expert in computer vision. Etsy also selected Toronto to create a new Machine Learning Centre of Excellence, and LG has established a five-year, multi-million dollar partnership with the University of Toronto to create a new AI campus.
The city is a centre of innovation, home to incubators, accelerators, and co-working spaces that offer programs aimed at developing entrepreneurial projects. With over 2,000 tech startups located throughout the region, Toronto is valuable for entrepreneurs, boasting a progressive ecosystem of networks that support research, development, and commercialization.
A Huge Growth in the Number of Specialists
As previously mentioned, Toronto has become the leader in tech sector job growth among all North American markets over the last five years, as the demand for skills in artificial intelligence has surged. The city added 95,900 tech jobs between 2018 and 2023, representing a 44% growth rate during this period. This was reported by CBRE, a commercial real estate services company. It’s also worth noting that Toronto ranked fourth among the top 50 tech markets in 2024, moving up one spot from the previous year. The top three are the San Francisco Bay Area, Seattle, and New York.
Toronto, Calgary, and the San Francisco Bay Area have indeed had many employment opportunities, as these cities typically have more tech job openings than tech graduates. For example, between 2018 and 2022, Toronto produced only 34,843 tech graduates, while there were over 94,000 open positions for these specialists between 2019 and 2023. In comparison, in the New York metro area, Washington, D.C., and Boston, the number of graduates exceeded the number of job openings. However, immigration and favourable visa policies have contributed to the growth of the tech workforce in major Canadian cities (including Toronto), unlike in the U.S., where navigating immigration status can be complex.
Support for Startups and Other Innovations
When it comes to innovation, some cities shine brighter than others, and Toronto has quickly become one of them. The city, where the cold weather contrasts with a booming technology scene, is setting a new standard for what a North American tech hub can be. For a long time, San Francisco was considered the gold standard for tech innovation. Although Silicon Valley is still associated with major tech companies, Toronto has carved out its own niche, where a diversity of perspectives and experiences drives innovation.
Toronto’s community-focused approach helps make the city a great place to live and work – it stimulates creativity as people from different cultures come together to solve common problems. This is vividly demonstrated at the Collision conference, which is a reflection of Toronto itself, where people from all over the world meet to discuss the world’s possibilities. Furthermore, government agencies, financial institutions, and venture capital firms actively support the tech ecosystem through initiatives, grants, and programs aimed at supporting startups and fostering innovation.
Hosting of International Technology Events
Toronto is the host city for numerous international conferences and events, such as Collision, which brings together startups and investors from around the world. Such an event attracts the attention of those who want to stay current with new technologies. At the Collision conference held in Toronto in 2024, over 1,600 startups from 57 countries were presented. However, during the event, there was low activity in securing funding for startups. This means that companies and projects did not receive as many investments as before, and the process of raising funds from investors was less active.
Additionally, Web Summit, the conference organizer, emphasized connecting startups with venture investors, which helped increase entrepreneurs’ chances of finding the right contacts for fundraising. This was noted in an interview by Catherine Farrell, Vice President of Communications at Web Summit.
Toronto’s technology scene demonstrates how a virtuous cycle of development works: universities produce talented young people, startups and large tech companies develop their potential, and the government and venture funds create a favourable infrastructure for the city’s growth. This landscape reflects a collective, successful path toward innovation and new opportunities.