The federal government and the chip giant will work on ways to increase the country’s artificial intelligence compute capacity, Innovation Minister François-Philippe Champagne posted on X late Thursday. (The Logic)

Talking point: The generative AI boom is built on compute, the processing power and other infrastructure necessary to train and run machine-learning models. Nvidia’s graphics processing units (GPUs) are the hottest hardware in the business, and CEO Jensen Huang expects demand to keep growing as governments try to secure “sovereign AI capabilities” for their researchers and startups. Champagne has said he’s talked to cloud providers to ensure affordable access, and earlier this week Canada and the U.K. signed a deal to look at ways of sharing compute. Ottawa also wants to participate in U.S.-led reshoring of chip supply chains. But it’s not bidding for the huge fabrication facilities that produce components for the likes of Nvidia, so any agreement is likely to focus on securing GPU supplies.