Canada commits up to $1.6 billion to Cohere

Prime Minister Mark Carney announced Canada’s commitment to an equity investment of up to $1.6 billion in Cohere, alongside private investors including NVIDIA, Bell and Schwarz Group. The commercial investment is intended to help the Toronto-founded company expand its secure AI systems for businesses and governments while giving Canada a financial stake in its growth.

Cohere will use the funding to develop more advanced models and products, expand computing infrastructure and grow its Canadian workforce. Its technology gives customers greater control over where sensitive data is stored, how it is used and who can access it. The company’s recent merger with Aleph Alpha brings together Canadian and German AI expertise.

Under its commitments, Cohere will create at least 1,000 new high-paying Canadian technical jobs by 2030 and commit at least $1.7 billion to additional computing infrastructure in Canada by 2030. It will retain its Canadian incorporation and headquarters, invest in domestic research partnerships, create opportunities for students and recent graduates, and continue working with the Canadian AI Safety Institute.

The government will provide the investment in stages, with regular reporting against Cohere’s commitments. The approach links funding to domestic jobs and infrastructure while supporting Canada’s capacity to develop and operate secure AI.