Canadian biz doubled AI use in last year but ‘could be moving faster’

A recent report from Statistics Canada revealed that the use of artificial intelligence (AI) among Canadian businesses has doubled to 12.2% in the second quarter of 2025, compared to 6.1% in the same period last year. While this growth is promising, Toronto-based AI expert Peter Palarchio believes that Canada has the potential to do even better.

Palarchio, who heads the NAV43 company specializing in AI consultancy for Canadian and American businesses, expressed his thoughts on the current state of AI adoption in Canada. He stated that although the country has made significant progress, there is a sense that the United States is pulling ahead in terms of AI implementation and utilization.

According to the report by Statistics Canada, the use of AI is most prominent in the information and cultural industries, with a notable increase in the finance and insurance sectors. However, industries such as agriculture, forestry, fishing, accommodation and food services, and mining are lagging behind in AI adoption.

Palarchio emphasized the importance of AI implementation in resource-rich sectors like agriculture and mining, highlighting the potential for increased productivity, cost savings, and economic growth. He also pointed out the lack of awareness among businesses in these sectors regarding the benefits of AI technology.

Moreover, Palarchio sees a significant opportunity for Canadian companies in the healthcare and education sectors to lead the way in AI innovation. He mentioned the possibility of leveraging AI for faster diagnoses, collaborative decision-making, and improving efficiency in healthcare services. In the education sector, he emphasized the importance of integrating AI into curriculums from an early stage to prepare students for the future.

The StatCan report analyzed the use of machine learning, virtual agents, and voice recognition in over 21,000 Canadian businesses. This data provides valuable insights into the current landscape of AI adoption in Canada and highlights the areas where further progress is needed.

In conclusion, while Canada has shown promising growth in AI adoption, there is still room for improvement and innovation. By leveraging AI technology effectively, Canadian businesses can enhance their operations, drive growth, and stay competitive in the rapidly evolving digital landscape.