Information Technology

Known globally for its high tech industry, the Region continues to lead the world in many pioneering technologies, from wireless to Internet to production technology. The Waterloo Region has the sophisticated expertise and the well-developed infrastructure required to successfully develop commercially significant technologies. Innovations originating at the University of Waterloo have been linked to hundreds of start-up companies in the region, some of which – including RIM, Open Text, and DALSA – have gone on to become global technology leaders. World-leading firms such as McAfee, Agfa, Sybase, Adobe, Siebel, and LSI Logic, have a strong local R&D presence.

A Top Five Canadian IT Investment Market

In 2007, the Waterloo Region saw a record year of deal flow, with more than $300 million infused into start-ups in disclosed private equity investments.

In 2004, 10 of the 125 technology companies listed on the TSX were based in the Waterloo Region - an indication that the Region has attained critical mass in the high tech sector.

Active IT Investment Market

In 2004, Waterloo Region was with Toronto and Ottawa as the top three markets for IT investment in Ontario and the fifth most active market in Canada. IT investment in the area doubled over the past four years, reflecting the region’s ability to consistently generate compelling deal-flow.

Concentration of M&A Deals

Waterloo Region has been home to a higher level of merger and acquisition (M&A) activity than other technology centres, relative to the amount of venture capital invested in the area. From 1997-2007, more than $1.8 billion was spent to acquire 19 successful, privately-held technology companies in the Region. Since 2000, four of the top 50 Canadian technology M&A deals were Waterloo-based companies.

TSX IPOs

From 1996 to 2004, Waterloo Region companies were responsible for 10% of initial public offerings (IPOs) completed by technology companies on the TSX (6 of 62 completed IPOs), demonstrating achievement of critical mass in the high-tech sector.

Global Leaders Invest in Waterloo Region

World-class companies based in Waterloo Region, such as Raytheon, NCR, ATS and Christie Digital, have established local manufacturing and research operations and believe strongly in maintaining global headquarters in the Waterloo Region.

Entrepreneurs Invest Back into the Waterloo Region

Several highly successful local entrepreneurs have committed to continue building the Waterloo Region’s future, including:

• Perimeter Institute for Theoretical Physics
• The Centre for International Governance Innovation
• Institute for Quantum Computing

Success Stories

• Waterloo-based Research In Motion (RIM) has enjoyed exponential growth with the development and manufacture of its BlackBerry wireless handheld device, which has transformed global business and personal lifestyle.
• Google’s Waterloo engineering team led development of wireless gmail.
• Christie, a successor to the legendary Electrohome, is the world leader in digital motion projection systems.
• Products from COM DEV International, Canada’s largest designer and manufacturer of space systems, are found on 80 percent of all commercial communications satellites ever launched.
• Open Text, a University of Waterloo spin-off, was the source of Yahoo’s first search engine. Today, Open Text is the largest independent provider of enterprise content management.

Support Infrastructure

The Waterloo Region has world-class infrastructure and support for entrepreneurs. Communitech, the Accelerator Centre, business organizations, universities and professional service firms provide an extensive start-up ecosystem to help companies launch, grow and win in global markets.

In 2008, Microsoft founder Bill Gates included the University of Waterloo among a handful of visits to blue-ribbon North American universities. His presence was no surprise. The University of Waterloo has the largest concentration of mathematical and computer science talent in the world, not to mention the country’s largest faculty of engineering.

Local post-secondary institutions represent a major differentiator that helps employers access exceptional talent and leading-edge research partnerships.

The Waterloo Region has key marketing and commercialization support structures in place:

• Ontario Technology Corridor - a southern Ontario promotional partnership (including Waterloo Region) that represents 90% (6,000 companies, 250,000 employees) of the ICT industry in the Ontario, and generates 20% of Canada's GDP. Key Sectors include: software development and services, telecom equipment, digital media, microelectronics
• Accelerator Centre - located in the University of Waterloo Research and Technology Park, the Accelerator Centre is a not-for-profit organization that nurtures technological entrepreneurship and helps high tech companies meet business start-up and growth goals.
• Communitech - an industry-led organization (450 members) driving the growth and success of Waterloo Region´s technology sector through leadership, connections and promotion.

Resource Documents

Description	Download
Ontario's ICT Industry (InfoTech 2005 Ontario)
Waterloo Region High Tech Industry High Tech 2006 State Of The Industry by Communitech
Waterloo Region 2008 Tech Directory