Xanadu secures $195-million from Ottawa for quantum computing in Canada
Xanadu Quantum Technologies has secured $195-million in federal funding from the Canadian government to build an advanced photonics research, development, and manufacturing facility in Toronto. The project, expected to cost $893-million, is also seeking additional funding from the Ontario government. This investment aims to prevent Canadian quantum companies from relocating abroad, especially amidst a worsening Canada-U.S. trade war and aggressive U.S. efforts to attract quantum talent.
Why it matters
This funding is crucial for Canada to maintain its competitive edge in the rapidly evolving quantum computing sector, ensuring domestic control over critical technology and preventing a brain drain to the U.S. It highlights the global race for technological supremacy and national security implications.
Christian Weedbrook, CEO of Xanadu, by Aurora, a prototype quantum computer at the company’s Toronto office in September, 2025. Fred Lum/The Globe and Mail
Xanadu Quantum Technologies Ltd. XNDU-T has secured $195-million in federal funding to support the building of an advanced photonics research, development and manufacturing facility in Toronto.
The Toronto-based quantum computer developer, which went public in March , is also negotiating for up to an equal amount of funding from the Ontario government. The project, located in a 158,000-square-foot facility on the site of a former Campbell’s soup plant in Etobicoke, is expected to cost $893-million.
While the federal government has provided financial support for Canada’s fertile quantum technologies sector for decades, Ottawa is under pressure to provide hundreds of millions more to keep domestic players from relocating abroad, a fate that has happened in other technology subsectors.
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