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Canada's Digital Technology Supercluster 17 Business Plan Canada-wide, Global Impact November 24, 2017 A Message from the Co-Chairs of Canada's Digital Technology Supercluster. Canada is poised to lead the world in the century of digital enterprises and data-driven economies. This epic journey began over a year ago when a few leaders from British Columbia dared to ask the question: “What do we envision as the future of the province and the country in 20 years?” From that small gathering grew dozens of roundtable discussions, townhall sessions, collaborations and partnerships that have unfolded through to today. It has involved hundreds if not thousands of people. Entrepreneurship, a pioneering spirit and a deep sense of community has fuelled this collaboration. CANADA'S DIGITAL TECHNOLOGY SUPERCLUSTER - FOUNDING MEMBERS We would like to thank everyone who has helped to design and contribute towards the Digital Technology Back Row: Michael Gallad, Illumina; Steve Slater, Terramera; Mark Wlodyka, Urthecast; Supercluster effort. It has been a nation-building Brent Allison, TELUS; Robin Ciceri, Research Universities’ Council of BC; Fadi Deek, exercise - and through late nights, early mornings Boeing; Hana Doubrava, Microsoft; Josh Blair, TELUS; Wendy Hansson, Providence Health; Jamie Mcdonald, TELUS; Sue Paish, Lifelabs; Elyas Kolia, Shoppers Drug Mart; and full weekends, we managed to unlock the art Shawn Gervais, Premiers’ Technology Council of BC; Shehzad Bharmal, Teck of the possible. Middle Row: Greg Caws, Premiers’ Technology Council of BC; Ivone Martins, Providence Health; Evgueni Loukipoudis, Change Healthcare; Gail Murphy, UBC; Bill Tam, BC Tech Association; Steven Archer, Avcorp; Iain Evans, UBC; Warren Wall, D-Wave Front Row: Don Bustin, AMPD; Jack Hsu, Boeing; Alexa Young, TELUS; Anthony Brown, Bill Tam Greg Caws AMPD; Laura Petrescue, Avcorp; David Trent, Canfor; Norma Biln, Augurex; Rob Gough, Co-Chair Co-Chair Timberwest; Robert MacDougall, Wavefront Thematic Goals 28 LEVERAGING OUR ASSETS 55 Strategic Objectives 29 Data Collection Assets 56 Market-Driven Projects 32 table of contents Data Analysis Assets 57 Global Focus 32 Data Visualization Assets 60 Creating Business Opportunities 33 Technology Pillars – Founding Members 62 Growing Canadian SMEs 34 EXECUTIVE SUMMARY 1 Innovation Ecosystem Assets 64 A Stronger Ecosystem 35 The Time is Now 1 The Consortium Asset 64 Participation Opportunities in Value Chains 37 Build on our Strengths 4 A Thriving Business Environment 38 Phase One Projects Summary 7 IMPLEMENTATION 65 Bolstering BC’s and Canada’s Global Reputation Supercluster Development Periods 65 Economic and Job Creation 8 for Digital Technology 39 Initiating Collaboration (0 to 2 years) 65 OPPORTUNITY OF A GENERATION 11 GROWTH OF THE ENTITY 40 Accelerating Innovation (3 to 5 years) 66 Market Trends – Timing is Everything 11 STAGE 1: Initiating Supercluster Collaboration (Years 0 – 2) 41 Sustainability (6 to 10 years) 67 Global Models of Success 13 STAGE 2: Accelerating Innovation (Years 3-5) 41 A Sustainable Organization 68 STAGE 3: Enhanced Performance & Sustainability (Years 6-10) 41 CANADA’S DIGITAL TECHNOLOGY ORGANIZATIONAL MODEL AND CAPACITY 70 SUPERCLUSTER 17 SUPERCLUSTER PROJECTS 42 Governance Model 70 What is a Supercluster? 17 Leadership Team 71 Project Themes 42 Our Vision 18 Phase One Projects 46 Diversity 74 Our Mission 18 Earth Data Store 46 Board of Directors 76 The Data-Intelligent Enterprise 19 Digital Learning Factory 47 Board Committees 78 Industry-matched Collaboration 21 Virtual Resource Management 48 Cross-sectoral Leaders and Potential Partners 22 Secure Health and Genomic Platform 49 MEASURING AND REPORTING PERFORMANCE 79 Why BC? 23 Tailored Health Therapies 50 Performance Measurement 79 Strong Foundations 24 Patient-Centric Digital Care 51 Indigenous Talent Development 52 Data Collection and Reporting 81 A NEW SUPERCLUSTER ENTITY 27 Scaling Innovation Ecosystems 53 Guiding Principles – Who are we? 27 Global Market Entry 54 PROGRAM AND PROJECT MANAGEMENT 82 THE FINANCIAL MODEL 103 Strategic Program Strategy 82 Funding Profile 103 Project Design Cycle 83 Cost Profile 105 Project Types 84 Project Budgeting 106 Technology Leadership Projects 84 Administration and Operating 108 Ecosystem Development Projects 85 Numbers at a Glance 109 Member Input into Project Ideas 86 Sustainability 112 1st Level Project Evaluation 86 Financial Risks & Mitigation Strategies 113 2nd Level Project Evaluation 87 GENDER BALANCE AND DIVERSITY PLAN 114 Management of Program Funds 88 Enshrining Diversity Principles in the Entity 114 INTELLECTUAL PROPERTY 90 Establishing Two Board Committees to Lead 114 IP Strategy 90 Generating a Diversity Scorecard to Measure Outcomes 115 Role of the Entity 91 Investing $4 Million per Year in Attraction and Retention of Underrepresented Groups 115 Master Project Agreements 92 Commercialization and the IP Registry 93 RISKS 116 IP Strategy Benefits 94 Overview 116 Alignment to Program Objectives Reinforcing the Collaborative Environment 116 and Benefits to Canada 94 Building a Market-Oriented Project Portfolio 117 IP Management and Royalty Frameworks 95 Growing our Global Success 118 Benefits to Members 96 SUMMARY 119 MEMBERSHIP MODEL 97 Supercluster Participants 121 Membership Categories 98 Membership Classes 98 Membership Benefits 99 Membership Benefits Table 100 4 Canada is poised to lead the world in the century of For example, the global VR/MR/AR market—currently EXECUTIVE digital enterprises and data-driven economies. a small segment of the digital technology space—will SUMMARY generate just US$11.4 billion in sales in 2017, and by If the prize resource of the 20th century was oil, the 2021, global sales are forecast to hit as much as US$215 prize resource of the 21st century is data. Canada billion, a twenty-fold increase.1 Put another way, in will be a global leader through a digital technology just four years this segment of digital technology will supercluster that unlocks the potential of data for the go from being smaller than BC’s forestry sector to intelligent enterprise. twice as big as Canada’s oil and gas industry, or bigger than the entire BC economy.2,3 Starting from the West Coast and engaging with companies from across Canada, our supercluster will Similarly, consider the profound growth of data in make the digital future a competitive advantage for business and society in recent years. More data has Canada's industries. been created in the past two years than in the entire previous history of the human race. Moving forward, The Time is Now the global data inventory will quadruple by 2025 and worldwide revenues for big data and analytics are The digital technology space is unrivaled in terms of expected to exceed $200 billion in 2020. This is driven projected future growth. Many of its most promising by business leaders transitioning their companies into components—such as virtual, mixed and augmented insights-driven organizations. reality (VR/MR/AR), quantum computing, cloud computing and IoT—are expected to witness triple We're at the inflection point of unprecedented, digit market growth in the years ahead. enormous opportunity. Our digital technology supercluster has been designed to capitalize on these important trends. 1 IDC. Worldwide Semiannual Augmented and Virtual Reality Spending Guide. 2017. 2 Based on forestry data from the CPABC [Updated: Overview of the BC Forestry Industry]. Assumes crude prices of US$60 and natural gas prices of US$2/GJ at 2016 production levels. 3 BC’s GDP in 2016 was roughly C$264 billion, or US$207 billion based on a CAD/USD of exchange rate of 1.27. 1 executive Summary Data Volume 1 2 3 is Exploding More data has been Data is growing faster than By 2020, our accumulated created in the past two ever before and by the year digital universe of data years than in the entire 2020, about 1.7 megabytes will grow from 4.4 previous history of the of new information will be zettabytes today to human race. created every second for around 44 zettabytes, every human being on or 44 trillion gigabytes. the planet. 4 5 6 Within five years there will By 2020, at least a third of Less than 0.5% of all data be over 50 billion smart all data will pass through is ever analyzed. connected devices in the the cloud. world, all developed to collect, analyze and share data. Source - Big Data: 20 Mind-Boggling Facts Everyone Must Read, Forbes.com, 2015 2 executive Summary Emerging 1 2 3 Technology & Innovation is Accelerating: By 2021, the global VR/MR/ By 2025, the quantum By 2021, the cloud AR market will grow from computing market is computing market is being smaller than BC’s expected to have grown anticipated to more than forestry sector to twice as more than sevenfold, to double in size, to big as Canada’s oil and gas US$20 billion. US$266 billion. industry, or bigger than the entire BC economy. 4 5 6 By 2022, the global IoT The global market for The market for AI market size will grow to Precision Health is expected technologies in health care US$19 trillion. to reach $87.3B by 2023, is expected to reach $6.6B while total health care by 2021 – a 40% growth rate. spending is projected to reach $8.7 trillion by 2020. 3 executive Summary Build on our Strengths With over 200 private sector participants, 25 of BC’s inspired by an ambitious strategy, we have post-secondary institutions, leading universities targeted leading companies in the health, natural and research institutes, and funding commitments resources, and industrial sectors to support their exceeding $500 million, we have the momentum digital transformations. We have engaged digital necessary to build a world-class supercluster. Our technology companies from across the spectrum supercluster includes over a dozen large corporate of startups, small and medium enterprises (SMEs), adopters including LifeLabs, Providence Healthcare, large companies, multinationals (MNEs), large Shoppers Drug Mart, Teck Resources, Canfor, Avcorp, industry adopters, post-secondary institutions, and TimberWest, Microsoft, Urthecast, and TELUS - research institutions to address digital challenges by significant brands that can lead the adoption and collaborating to create products and platforms that success of new products and technologies.
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