A Canadian aviation company says it is investing $1 billion into innovation as part of a partnership with the Canadian and Quebec governments to position it as a global leader in its field.
Montreal-based CAE Inc., which makes flight simulators and other aircraft training devices, says the money will go toward developing artificial intelligence and data solutions to be used in civil aviation, defence and security and healthcare.
The Canadian government is contributing $190 million and the Quebec government $150 million.
It's part of the company's five-year research and development plan dubbed Project Resilience, which could also see CAE produce green technology for light aircraft.
The funding will also go towards developing simulation technology, and to develop electric aircraft that can take off and land vertically.
"With advanced air mobility, we are on the cusp of a new era of aviation," said Marc Parent, CAE's president and chief executive officer.
"Disruptive aerospace companies are building cutting edge aircraft and creating a new sector within the industry from the ground up. We are investing to position CAE to be one of the leaders in defining this emerging industry."
CAE said the funding will result in 700 new highly skilled jobs and 5,000 work experience positions for students at post-secondary institutions.
The company employs more than 11,000 people around the world, with more than half of them in 18 locations across Canada.
François-Philippe Champagne, Canada's Minister of Innovation, Science and Industry, said it's essential to support the long-term growth of the country's aerospace sector.
"The aerospace sector is a pillar of the Canadian economy, providing good jobs for Canadian workers from coast to coast to coast,” said Champagne.
“The investments announced today will help the aerospace sector increase its research and development efforts so that innovative, greener, more sustainable aircraft can be built right here in Canada for decades to come, creating good jobs for hard-working Canadians."
This report by The Canadian Press was first published July 15, 2021.
Companies in this story: (TSX:CAE)
Salmaan Farooqui, The Canadian Press