Telecommunications giant TELUS and the federal government are backing a major artificial intelligence infrastructure expansion in B.C., as Canada ramps up efforts to build domestic computing power and reduce reliance on foreign-owned AI systems.
TELUS announced Monday that it is working with Ottawa under the federal “Enabling Large-Scale Sovereign AI Data Centres” initiative to develop a three-site AI infrastructure cluster across Vancouver and Kamloops. The project is expected to scale to more than 60,000 GPUs and 150 megawatts of capacity by 2032.
“We are taking concrete action to strengthen Canada’s sovereign AI capacity and ensure that Canadian innovation, data, and economic advantages are anchored in Canada,” Canada’s AI minister Evan Solomon said in a statement released Monday.
TELUS says the project is being developed in response to growing demand for Canadian-based AI infrastructure following the launch of its first Sovereign AI Factory in Rimouski, Quebec, which the company says is already fully sold out.
The planned B.C. network includes an expansion of TELUS’ Kamloops data centre, expected to come online later this year, alongside two new Vancouver facilities being developed with Westbank. One Mount Pleasant facility, known as M3, is slated to open at the end of 2026, while a downtown Vancouver site at 150 West Georgia is expected to launch in 2029. It is slated to be the largest of the three facilities, spanning 400,000 square feet with the capacity for up to 100 MW of electricity.
TELUS says the facilities will use leading AI chip manufacturer NVIDIA’s AI infrastructure and run primarily on renewable energy. The company also says the data centres will use liquid cooling and heat recovery systems designed to lower energy and water consumption compared to traditional facilities.
At full scale, the company estimates the project could generate roughly $9 billion in economic value for British Columbia and create more than 1,000 construction jobs along with hundreds of permanent operations roles.
The project arrives amid growing debate over the massive energy demands tied to AI infrastructure, particularly as governments and tech firms pour billions into large-scale computing facilities needed to train and run advanced AI systems.
Still, federal and provincial officials are increasingly positioning AI infrastructure as essential to Canada and B.C.’s long-term economic strategy.
“By prioritizing projects by B.C.’s many innovative companies who are using AI to solve challenges, focusing on data sovereignty, and working in alignment with our federal partners, we’re ensuring our clean power supports good-paying jobs and prosperity across the province,” said Minister of Jobs and Economic Growth, Ravi Kahlon, in the release.
