Skip to content

Canada's Business and Tech Newsroom

  • Professional Subscription
  • Partnerships & Advertising
  • Licensing & Syndication
Log In Subscribe
Welcome,
  • My Account
  • Log Out
  • Business
  • Tech
  • National
  • The Big Read
  • Briefings
  • Commentary
Search
Log In Subscribe
Welcome,
  • My Account
  • Log Out
Exclusive

Cohere lands significant AI deal with federal innovation department

Listen Now
0:00
Exclusive

Cohere lands significant AI deal with federal innovation department

Up to 1,400 public servants will use Cohere’s North AI as part of the firm’s first major government deployment since it signed an agreement with Ottawa to test its tech

By Murad Hemmadi
A man wearing a headset microphone sits on a stage. He is speaking and gesturing with his hands. The background is dark blue.
Cohere co-founder and CEO Aidan Gomez. In addition to Ottawa, the firm has done deals with Bell, RBC, Saudi Arabian telecom company STC Group and U.S. hospital tech firm Ensemble Health Partners. Photo: The Canadian Press/Christopher Katsarov
Apr 17, 2026
A A
A Small A Medium A Large
Share

Gift

Share

Listen Now
0:00

The federal innovation department is rolling out Cohere’s workplace AI technology to help staff automate some tasks. 

Up to 1,400 users at Innovation, Science and Economic Development (ISED) will get access to Cohere’s North platform, Peter Wall, a spokesperson for AI Minister Evan Solomon, told The Logic. The deal is a milestone for the firm’s public-sector business, and for Ottawa’s pledge to buy more technology from Canadian companies as it tries to boost productivity with AI.

Related Articles

Ottawa signs deal to use Cohere’s tech for its internal AI assistant

By Murad Hemmadi
A work station at Cohere's office in Toronto.

Cohere is going big in Ottawa as government attempts major AI push

By Murad Hemmadi

Public servants in the department will use North for “search, summarization, drafting, decision support, and task automation,” Wall said. “This is a real-world, at-scale deployment of Canadian AI inside the federal government.” 

Sohail Manoussi, Cohere’s lead for the Canadian public sector, described the deal as the firm’s “first major expansion of secure AI infrastructure into civilian government operations.” 

North lets users set up and run AI agents that can take on assignments on their behalf, and complete repetitive tasks. Cohere claims the platform is secure and meets sovereignty requirements, and will make staff more efficient. The innovation department’s use of the technology will establish “a technical blueprint for how the rest of the federal government will modernize,” according to Manoussi. 

Neither the federal government nor Cohere disclosed financial terms of the procurement. ISED has about 5,900 employees in total. 

Ottawa has promised to buy from Canadian tech companies at home and champion them abroad as it looks to compete in the global AI race. Cohere has positioned its technology as particularly well-suited to public sector applications, because it can be run on clients’ own digital infrastructure and provides an alternative to services developed by U.S. tech giants.

Last May, the innovation department’s in-house AI accelerator hosted a workshop for Cohere to demonstrate North, and the IT unit subsequently tested it. ISED was already using a Cohere AI model to power part of an application called ParlBrief, which transcribes, summarizes and analyzes Parliamentary committee meetings. 

In August, Solomon and Procurement Minister Joël Lightbound signed a non-binding agreement with Cohere to explore using its AI products in federal operations. The contract with ISED marks the first subsequent large-scale deployment. Manoussi said it shows “high-performance AI can be deployed responsibly to serve Canadian interests.” 

Shared Services Canada awarded Cohere a $339,000 contract in November to make its models available for CanChat, Ottawa’s in-house AI assistant. Cohere has also previously received some non-civilian business. As The Logic first reported, the firm had a contract with the Communications Security Establishment. Cohere has also recently partnered with several defence contractors that have sold or are trying to sell to the Canadian Armed Forces, including Hanwha, Saab, Thales and TKMS. 

The Liberal government’s November 2025 federal budget promised a new Office of Digital Transformation to lead AI adoption across departments and agencies. Many federal public servants already have access to some AI applications, including CanChat and Microsoft Copilot. 

In a December interview, Solomon said Ottawa will need generative, agentic and enterprise AI tools “to help us modernize government services.” The innovation department is currently focused on acquiring technology to streamline administration and improve operational efficiency according to its plan for the current fiscal year. ISED has also committed to giving employees AI training, improving its management of data, and investing in Canadian solutions.

Gift the full article

Other major clients for North include Canadian corporate giants Bell and RBC, as well as Saudi Arabian telecom company STC Group and U.S. hospital software developer Ensemble Health Partners. The firm typically charges clients a fee per user of North, tied to the scope of capabilities they’re employing. North can “lift the burden of boring and monotonous work off of people,” Cohere co-founder Nick Frosst said during a demonstration last August. 

Public-service unions have expressed concern about the impact that the government’s adoption of AI could have on members’ work and jobs. 

#artificial intelligence #Cohere #digital government #Tech

Sponsored Content

The real-world economic offshoots of sovereign AI

By Deborah Aarts
Illustration of a plane flying above a mailbox

Increasing healthcare access across Canada

By Deborah Aarts

What it takes to lead a frontier firm

By Deborah Aarts
Paid promotional content

Loading...

Thanks for sharing!

You have shared 5 articles this month and reached the maximum amount of shares available.

Close
This account has reached its share limit.

If you would like to purchase a sharing license please contact The Logic support at [email protected].

Close
Want to share this article?

Upgrade to all-access now

Close
Gift the full article!

You have gifted 0 article(s) this month and have 5 remaining.

Copy link and gift
Copy Link
Email to a friend
Send Email
Gift on Social Media

Recipients will be able to read the full text of the article after submitting their email address. They will not have access to other articles or subscriber benefits.

A man wearing a headset microphone sits on a stage. He is speaking and gesturing with his hands. The background is dark blue.

Photo: The Canadian Press/Christopher Katsarov

Most Popular This Week

An image of a man in a dark suit and purple tie standing and speaking at a microphone. The man has a serious facial expression. A blue banner that reads "Milken Institute" is in the background.
News

Investor demand is what’s bringing the Milken Institute to Canada

By Chaimae Chouiekh
Janice Charette and Dominic LeBlanc walking toward the camera next to a white pavilion that bears the logo of the 2026 G7 meeting in France.
News

Canada ‘can’t even talk about anything else’ if Trump makes good on latest tariff threat

By Joanna Smith
A man walks across a large greenhouse with large glass ceilings. He is walking on a white path through rows of green lettuce growing on the ground.
News

Canadian businesses were bracing for a wave of retirees. Then along came AI

By Anita Balakrishnan
An image of a man wearing a dark suit jacket and tie. He is wearing a mic and looking slightly away from the camera.
News

Brookfield and Cohere execs among high-profile guests at CVCA summit

By Catherine McIntyre

In-depth, agenda-setting reporting

Great journalism delivered straight to your inbox.

A head-on shot of Mark Carney at a lectern embossed with a maple leaf carved from wood. There is a row of Canadian flags behind him, and he's looking at the camera with a serious expression.
News

How Mark Carney plans to wage trade war against the United States

By Laura Osman and Murad Hemmadi

Briefing

Roots to go private in deal led by Marquee Brands

By Catherine McIntyre   |   Aug 21, 2026

Negotiations once again down to the wire as tariff countdown ticks toward midnight

By Laura Osman   |   Aug 21, 2026

Domtar shutters B.C. pulp mill over reduced demand and poor prices

By Laura Osman   |   Aug 21, 2026

Best business newsletter in Canada

Get up to speed in minutes with insights and analysis on the most important stories of the day, every weekday.

Exclusive events

See the bigger picture with reporters and industry experts in subscriber-exclusive events.

Membership in The Logic Council

Membership provides access to our popular Slack channel, participation in subscriber surveys and invitations to exclusive events with our journalists and special guests.

Recent Popular Stories

Commentary

Carmichael: Canada’s biggest companies aren’t wired for growth. That’s a problem for us all

By Kevin Carmichael   |   Aug 15, 2026
An image of the Canadian flag against two tall buildings with glass windows in the background.
Exclusive

Star researcher Sanja Fidler raises over US$90M for world model startup

By Murad Hemmadi   |   Aug 19, 2026
A woman wearing a ponytail and a black leather jacket stands on a stage. She looks slightly away from the camera. She wears a microphone and appears to be speaking to an audience.
News

Canada ‘can’t even talk about anything else’ if Trump makes good on latest tariff threat

By Joanna Smith   |   Aug 14, 2026
Janice Charette and Dominic LeBlanc walking toward the camera next to a white pavilion that bears the logo of the 2026 G7 meeting in France.
News

Anthropic wants to add ‘gigawatts’ of AI compute in Canada

By Murad Hemmadi   |   Aug 19, 2026
An image of a man with glasses, wearing a dark blue suit and light blue collared shirt. The man looks slightly away from the camera and a microphone is visible in the foreground. A blue background that reads World Economic Forum is visible in the background.
News

Negotiators work on fine print of deal that would spare Canada new U.S. tariffs

By Joanna Smith   |   Aug 19, 2026
A shot taken through a crowd of reporters and boom mics showing Mark Carney seated beside Donald Trump in yellow chairs in the Oval Office. Seated before them on sofas are senior members of the leaders' respecting cabinets.
News

U.S. private equity is buying Canada’s biggest payments processor. Some people are worried about sovereignty

By Claire Brownell   |   Aug 12, 2026
In this photo illustration the Moneris logo is seen displayed on a smartphone.

Canada's most influential executives and policymakers are reading The Logic

  • CPP Investments
  • Sun Life Financial
  • C100
  • Amazon
  • Telus
  • Mastercard
  • bdc
  • Shopify
  • Rogers
  • RBC
  • General Motors
  • MaRS
  • Government of Canada
  • Uber
  • Loblaw Companies Limited
logic-logo

Canada's Business and Tech Newsroom

100% human-crafted journalism

Newsroom

  • News Tips
  • AI Policy
  • Editorial Disclosures
  • Story Pitches

Company

  • About Us
  • Terms of Service
  • Privacy Statement
  • Corporate Information

Contact

  • Contact Us
  • Advertise
  • FAQs
  • Work at The Logic

© 2026 The Logic Inc. All Rights Reserved.

Trusted by leaders

Error

Account creation failed.

Please email us at [email protected].

Create Account

[wppb-register form_name=”cozmo-registration-form-for-modal”]

I do have an account
Login
or

[wppb-login]

I don’t have an account