Op-Ed – Capitalizing on the Capital: Ottawa Has Defence Hub Potential
This op-ed was originally published by Sueling Ching, President and CEO of the Ottawa Board of Trade, and Sonya Shorey, President and CEO of Invest Ottawa, in the June 24, 2025 edition of The Hill Times.
Canada has a critical window of opportunity: for the first time in decades, there is clear political and public consensus on the urgent need to invest in national defence. As global tensions escalate, the call to modernize Canada’s military and security capabilities has never been louder.
But this is not just about defence; it’s also about economic resilience. Strategic investments in dual-use and defence technologies can strengthen Canadian innovation, create jobs, and anchor regional economies. It’s a nation-building opportunity we can’t afford to miss.
Nowhere is this more apparent than in Ottawa.
Long known as the seat of government, Ottawa’s economy is anchored by the federal public service. But with hybrid work, decentralization, and talks of public service caps, what was once a stabilizer is now a source of vulnerability. To remain competitive, Ottawa must evolve beyond its role as a government town.
At the same time, Canada urgently needs to scale domestic innovation in areas critical to national security, from cybersecurity to artificial intelligence. The convergence of these two needs—economic renewal in Ottawa, and defence modernization for Canada—creates a generational opportunity to designate the city as Canada’s Defence Innovation Hub.
This would be a win for the entire country.
Ottawa is already home to 190 aerospace, defence, and security companies. It boasts North America’s highest concentration of tech talent, a bilingual and highly educated workforce, more than 65 federal labs, and the headquarters of key departments including National Defence and Public Safety Canada. It’s also home to CANSEC—one of the largest defence and security trade shows in North America.
Geography also gives Ottawa an edge. With a climate and infrastructure suited to year-round cold-weather testing, Ottawa is a natural centre for innovation relevant to Arctic security, one of the most pressing geopolitical issues facing Canada and its allies.
International examples show what is possible. In the United States, the Washington-Virginia corridor became a global defence leader through deliberate federal investment. In France, Toulouse’s aerospace sector was built with targeted government support. These clusters didn’t happen by chance; they were created by design.
Ottawa is already gaining global recognition for defence. In 2023, four Ottawa sites were chosen to participate in NATO DIANA (Defence Innovation Accelerator for the North Atlantic)—more than any other Canadian city. Ottawa’s Area X.O, a smart mobility test facility managed by Invest Ottawa, and three National Research Council labs are now among the 13 DIANA test centres across the country.
Kanata North, Canada’s largest tech park, adds further strength to this ecosystem. With companies like Lockheed Martin, Thales, and CAE operating alongside hundreds of scale-ups and small and medium-sized enterprises (SMEs), the region is a living lab for secure communications, autonomous systems, and aerospace.
What’s missing isn’t capacity; it’s co-ordination and commitment.
Designating Ottawa as Canada’s Defence Innovation Hub would catalyze a bold national strategy. It would align procurement with Canadian innovators, expand opportunities for SMEs, and attract more global investment. It would also send a message to allies that Canada is stepping up with an innovation-led defence economy that is ready to contribute.
And as the capital of a G7 country, Ottawa must reflect the strength and ambition of the nation it represents. In an era of soft power and global perception, the vitality of Canada’s capital city is a national imperative.
The opportunity is now: with the right national focus and investment, Ottawa can power a modern, sovereign Canadian defence strategy. One that equips our Armed Forces, fuels economic growth, strengthens supply chains from coast to coast to coast, and gives Canada a global edge in the technologies that will define the future.
Interested in joining the conversation on defence in Ottawa? Become an OBOT Pillar Partner and join our Policy Council today.