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Investing in Canada: the Silicon Valley of the North

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The following content is sponsored by the Canadian Consulate in San Francisco.

Foreign Direct Investment in Canadian Tech Sector

Canadian Technology Hotspots

Investing in Canada: the Silicon Valley of the North

The fastest-growing tech hubs are no longer limited to the San Francisco Bay Area. Canadian cities have emerged as ideal ecosystems for nurturing technology companies.

In particular, Toronto, Edmonton, Montreal, and Vancouver are well-known hubs for innovation, attracting some of the world’s top tech talent.

Today’s graphic from the Canadian Consulate in San Francisco highlights why Canada’s booming tech industry is attractive to foreign companies, and where the new avenues for growth are located.

Investing in Canada’s Tech Sector

Canada is an attractive market for foreign investors and corporations.

  • Free Trade: Canada is the only country that freely trades with every G7 nation
  • Innovation: The tech startup ecosystem in Canada ranks 3rd in the world
  • Stability: Canada’s social and political climate ranks in the top 20 most stable worldwide

Foreign direct investment (FDI) into Canada is fueling this growth. In just a year, FDI grew by 70%—from $32.2 billion in 2017 to $54.7 billion in 2018. There are three primary types of FDI:

TypeDescriptionExample
HorizontalSame type of business established in a foreign country Cell phone provider in the U.S. opens stores in Canada
VerticalDifferent but related business established or acquired in a foreign countryU.S. manufacturer acquires a Canadian supplier of parts or raw materials required for its products
ConglomerateAn investment made in a business unrelated to the foreign investor’s existing businessJoint venture between a Canadian Artificial Intelligence (AI) company and a U.S. company with no experience in AI

For many years, Canada has maintained an open flow of trade, investment, and talent with other nations. That’s why many well-known foreign companies are flocking to the “Great White North” to attract world-class talent.

Who’s Got Talent: Hiring the Best

Canada is an emerging leader in talent attraction. The influx of FDI and skilled immigrants has sparked the “brain gain” throughout Canada’s tech sector.

The Global Skills Strategy (GSS) is a recent federal program that fast tracks immigration for highly-skilled workers applying directly to Canada or through U.S. companies. In 2018 alone, the GSS received over 10,000 applications─with a 96% success rate for approved work visas.

Shorter processing times for Canadian work visas are enabling more efficient immigration. Canadian visas are now processed within 10-14 days, compared with the typical U.S. timelines of 6-10 months.

Locally, Canadian tech talent has also grown formidable. Notable experts in AI, deep learning, and technology have pursued lucrative research and career opportunities in Canada.

Canadian Tech Pioneers

  • Yoshua Bengio: 2018 Turing Award, University of Montreal
  • Richard Sutton: Google DeepMind, University of Alberta
  • Joelle Pineau: Facebook AI Research (FAIR), McGill University
  • Geoffrey Hinton: Google, 2018 Turing Award, University of Toronto
  • Donna Strickland: 2018 Nobel Laureate, University of Waterloo
  • Doina Precup: Canadian Institute for Advanced Research (CIFAR) Senior Fellow, McGill University
  • Sanja Fidler: NVIDIA Director of AI, University of Toronto
  • Hugo Larochelle: Google Brain, CIFAR Associate Director, University of Montreal

Notable accolades include the Turing Award, which is given annually to selected individuals for their contributions “of lasting and major technical importance” to the computer science industry.

Highly skilled professionals such as those listed above are working closely with both renowned academic organizations and major tech companies to foster innovation in Canadian tech.

Show Me the Money: Setting up Shop in Canada

Companies that choose to invest in Canada’s technology sector also have access to several key financial incentives.

  1. Tax Incentives
    Foreign companies can receive corporate tax breaks for investing in a Canadian office. Any research and development (R&D) work may also be eligible for Scientific Research and Experimental Development (SR&ED) tax credits.
  2. Lower Labor Costs
    Lower costs of living throughout Canada allows foreign companies to pay lower wages to staff without impacting quality of life. The rent-to-tech wage ratio─the ratio of a tech worker’s monthly housing costs to their monthly wages─is significantly lower in Canada compared to major U.S. tech hubs. For example, Montreal’s ratio is 12.6%, compared to San Francisco’s ratio of 26.4%.
  3. Lower Operating Costs
    Setting up a physical office also offers more value per dollar for foreign companies, as most operating costs are significantly lower in Canada.

The Canadian tech industry is consistently boosting job growth, tech innovation, and wealth creation─all important considerations for foreign companies and investors.

Attracting Foreign Companies to Canada

Many view Canada as a land of opportunity─ the country consistently ranks highly on global happiness, thanks to its stable politics, social factors, and strong economy.

With quality talent and lower costs, Canada is fertile ground for U.S. and foreign tech companies seeking to grow their businesses and global reach.

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Unlocking Earth’s Treasures with Mineral Exploration

There are untold treasures in the Earth’s surface waiting for discovery. Skeena Resources is opening the vault in the Golden Triangle at Eskay Creek.

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Natural Wealth

Unlocking Earth’s Treasures with Mineral Exploration

There are untold treasures of gold, silver, copper, and much more that lie beneath the Earth’s surface, awaiting discovery—and it takes mineral exploration and the right team to unlock this hidden wealth from the depths.

Mining exploration company Skeena Resources is opening the vault to the treasures of British Columbia’s Golden Triangle at the famous Eskay Creek property.

Following in footsteps of other successful mineral exploration efforts, Skeena is proving there is more value to unlock at Eskay Creek. The Golden Triangle is already home to some of the most productive mines in the world.

Keys to the Vault: Turning Discoveries into Resources

A mineral exploration company such as Skeena conducts geological studies to turn a discovery into a mineable resource. As each mineral deposit becomes better understood, new value is unlocked and its economic value increases.

The mining industry uses three resource classifications for a mineral discovery, based on the amount and proximity of drill holes.

  1. Inferred
  2. Indicated
  3. Measured

Each one of these categories represent the confidence with which an economic source of minerals exists. The “Inferred” classification is the lowest level of confidence that a certain amount of ore exists in a location while “Measured” is the highest.

Companies drill holes and pull out small samples of the ground in order to discover and measure the continuity and grade of a mineral occurrence. The results of drilling provide more and more data for improving the understanding of a deposit. Each study eventually cuts the key to unlock the treasure below.

Grade is King: The Higher the Grade, The Lower the Costs

In order for a mineral deposit to be valuable it must pass the grade. The amount of the sought-after mineral within a particular amount of rock is known as the ore grade. Typically, the higher the ore grade, the more profitable a mine can be.

Skeena Resource’s Eskay Creek has a grade of 4.3 grams per tonne ‘g/t’, making it 3x higher than the global average grade of open pit mining projects. This could potentially make it all the more unique and valuable to investors.

Unlocking the Vault

Gold’s value is in part due to its rarity. The precious metal cannot be artificially produced and is only found deep inside the vault that is the Earth’s crust. This makes mineral exploration an extremely rewarding business if a discovery is made.

In terms of statistics, the odds are 1 in 10,000 that greenfield exploration produces a profitable mine—and odds are even more remote for a mineral occurrence to become a world-class mine. Further, if a gold deposit is actually found, there is only a 10% chance it will have enough gold justify further development.

Through targeted mineral exploration, Skeena Resources is proving there is more golden treasure to uncover at the legendary Eskay Creek.

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How Hospital Bottlenecks Cause A Healthcare Gridlock

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How Hospital Bottlenecks Cause A Healthcare Gridlock

The healthcare industry is complex and interdependent. Much like a highway interchange, it relies on multiple players and processes to flow smoothly.

But just like in an interchange, a single roadblock can bring the system to a grinding halt—leading to serious consequences for all involved.

The Healthcare Silos

In healthcare, there are three primary players, each with their own priorities. However, they stay in their own lane and rely on independent software systems to achieve their goals.

Healthcare playerMain prioritySystem used
PatientsSeek an engaged and personalized experienceDigital technologies
- Example: mobile health, wearables
- Provide constant monitoring and instantaneous updates
Providers (Doctors, nurses, and more)Provide the highest quality of careElectronic health records
- A comprehensive record of a patient’s medical history
Payers (Insurance companies)Balance the cost and quality of careClaims database
- Information on medical appointments, bills, and more (some claims can take 60 days to process)

This leads to frustrations for all parties, including poor communication and uncoordinated care.

A Not-So-Patient Journey

What factors lead to a less-than-desirable experience? Challenges arise from the moment a patient walks into a hospital

  1. Entering the Emergency Department (ED)
    Overcrowded EDs are often the first point of contact for a patient. On average, 43.3 per 100 people visit the emergency department annually in the United States for everything from fevers to injuries. Of these, 6 out of 10 must wait longer than 15 minutes before they can be seen by a provider.
  2. Playing the Waiting Game
    Patients are willing to endure up to 2 hours in the emergency department, but wait times often surpass that. The average wait time in 2017 was upwards of 352 minutes, or almost six hours. As a result, up to 9% of patients leave without being seen (LWBS).

There’s simple psychology behind why some people aren’t able to wait it out. According to former Harvard professor David Maister, unoccupied time that is compounded with anxiety makes a wait feel longer.

These long waits also affect a patient’s perception and satisfaction of the care they eventually do receive.

The True Cost

After they’re admitted, inconsistent processes and flows continue to plague patient experiences.

A typical hospital stay can rack up a single patient close to $12,000 across 4.6 days. With these costs climbing every year, uncoordinated care adds to these receipts by extending the stay.

Uncoordinated care also creates a dire strain on resources, including the humans behind all the work. The resulting physician burnout costs the U.S. health system $32 billion annually. While lost productivity causes over half ($18 billion) of this amount, another $8.5 billion is due to poor experiences, which impacts patient satisfaction which leads to falling margins for hospitals.

Severe bottlenecks compound these issues, forcing the healthcare system into a gridlock.

What’s Causing the Jam?

Disjointed communication and a lack of visibility across systems are the major reasons for these costly standstills. This is analogous to using a paper map to navigate:

  • No updates based on the current situation
  • Time-consuming to figure out specific route to a destination
  • Show multiple routes, but not the fastest way to get there

What if there was a smart GPS to help the healthcare industry overcome roadblocks?

  • Real-time, dynamic updates on the current situation
  • Knows where you are, and where you need to go
  • Filters only the appropriate and relevant information

The Leidos careC2 Command Center solves healthcare traffic jams.

The coordinated technology suite rapidly identifies and reduces bottlenecks and delays in the care process. This improves the operational flow of hospitals—so that patients, providers, and payers all reach their destinations safely and efficiently.

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