Ericsson announced the findings of its annual State of Enterprise Connectivity report for Canada, which finds that while connectivity is vital to increase innovation and to enable companies to be competitive, challenges such as cost are hindering its progression in the country. The report underscores the need for business investment in advanced network infrastructure to help drive efficiency and to position Canada as a world-class leader in innovation.
According to those surveyed, organizations in Canada are facing an unpredictable business environment. Investing in technology such as AI and IoT can help them navigate this with improved productivity and processes. However, strong, reliable connectivity is needed to support these efforts.
As in previous years, the 2025 Censuswide research indicates unreliable connectivity is a main area of concern for respondents, with downtime directly affecting their business. As some Canadian businesses have recently experienced, unforeseen challenges including weather-related issues, carrier/service provider issues and networking configuration errors can cause network downtime. For organizations that rely on technology for their day-to-day business, outages can be costly and debilitating. The survey found the main impacts of unreliable connectivity over the last 12 months include higher operational costs (46 percent), operational inefficiencies (45 percent) and an increase in waste (31 percent).
Furthermore, as more than half of Canadian companies (56 percent) are enforcing people to be in the office more in 2025 — 42 percent of respondents said they are already fully office-based — the top factor Canadian businesses consider to encourage workers back to the office is to improve office connectivity (56 percent). Just one in five Canadian companies (19 percent) reported they are fully remote.
Reliable, affordable connectivity needed to position Canada as a world-class leader
The annual survey of over 500 respondents across various industries in Canada found the majority (90 percent) of Canadian businesses agree that more secure, reliable and high performing networks such as 5G will help to position the country as a world class industrial and technology leader. Additionally, the survey found 5G connectivity will play an important role in advancing the competitiveness of Canadian businesses:
- 46 percent believe 5G will improve bandwidth
- 44 percent say it will be a key enabler for the development of IoT, AI and other technological applications
- 43 percent indicated it will improve security
Six out of 10 respondents said affordable connectivity across the country will support Canadians to realize the benefits of a digital transformation. More than half (52 percent) of those surveyed believe that investment by the private sector in infrastructure for high-speed and high-capacity wireless and wireline technologies will support this, and 49 percent cited access to connectivity for all Canadians. According to the report, key investment areas that should be made for private and public Canadian organizations to address the advancement of connectivity include:
- Improved reliability of communication networks (48 percent – a 21 percent increase compared to 2024)
- Faster roll-out of 5G/advanced wireless networks to rural areas (47 percent – a 24 percent increase compared to 2024)
- Stronger security (45 percent)
Connectivity needed to unlock the true power of AI
Many Canadian companies are already leveraging 5G to maximize their business for production efficiency (68 percent), customer experience (62 percent), enhancing scalability (57 percent) and reliability/resilience (56 percent).
Respondents indicated they also believe that 5G connectivity and next-generation technologies, such as AI, have a symbiotic relationship. For example, nearly 85 percent of respondents said AI helps improve their network performance by automating analysis and reducing the manual workload on their IT team. Almost nine of 10 (87 percent) also agree that 5G is critical to optimizing the use of AI within the workplace.
Another area of growth is the implementation of IoT devices, which can help increase productivity, reduce worker burnout, and improve safety. Looking ahead over the next 12 months, the top connected IoT devices planned for implementation by Canadian businesses include predictive maintenance (46 percent); sensors (41 percent); digital signage (41 percent); and cameras (39 percent).
Improving productivity through innovation
There are, however, factors businesses believe are hindering the progression of connectivity in Canada, with nearly half (47 percent) citing the cost of services from network-operating telecoms/providers as the biggest issue. Forty-three (43) percent of those surveyed said complex and lengthy permitting processes for deploying connectivity infrastructure are affecting progression, while 38 percent said strict data protection rules across Canada, such as Law 25 in Quebec and Ontario’s Bill 194, are also a hindrance.
Jason Falovo, Vice President and General Manager, Canada at Ericsson Enterprise Wireless Solutions, said: “The 2025 State of Enterprise Connectivity report for Canada highlights the need for investment in infrastructure, and the importance of 5G in particular, to increase innovation and enhance productivity across the country. Canadian businesses cited improved reliability of communication networks as the top area of investment required to advance connectivity — a 21 percent increase compared to last year’s report. As organizations look to take advantage of IoT and AI applications to improve efficiencies during these unpredictable times, they must find the right solutions — and knowledgeable technology partners — to help plan for the future.”
