QUESTION PERIOD — Innovation, Science and Economic Development
Canadian Photonics Fabrication Centre
October 29, 2026
Senator Moreau, last May, Minister Mélanie Joly announced plans to transition the Canadian Photonics Fabrication Centre from the National Research Council Canada into an independent commercial entity. This presents a significant opportunity to scale a world-class Canadian photonics and semiconductor asset into a strategic node within the global semiconductor supply chain.
At the time, I raised concerns about execution risks, with deal structuring and investor engagement entrusted to the Canada Development Investment Corporation, which is not a domain expert. As we have seen far too often, strong Canadian innovation does not translate into Canadian ownership and economic or geopolitical benefits.
Could you provide an update on the status of the Canadian Photonics Fabrication Centre spinoff?
Thank you, Senator Deacon.
As North America’s only end-to-end pure play compound semiconductor facility, the Canadian Photonics Fabrication Centre, or CPFC, plays a critical role in Canada’s innovation ecosystem. Over the past two decades, the CPFC has evolved into a key industrial partner for Canada’s growing photonics ecosystem.
The CPFC will continue to be anchored in Canada and create high-quality jobs for Canadians through the design, refinement, fabrication and testing of compound semiconductor wafers. The CPFC works with companies across the photonics industry to bring their products to market. Photonics are the cornerstone of Canada’s innovation future, and spinning off the Canadian Photonics Fabrication Centre will strengthen Canada’s leadership in photonics innovations.
Thank you. I am hoping that I heard in there that there is a real appreciation of its incredible strategic value. We need Canada’s “deep tech” investors and industry experts with market expertise to be engaged in the process. A recent announcement of a venture investment arm by the Kanata North-based RANOVUS has brought together a globally leading group of experts.
Will the government be engaging with the semiconductor industry experts themselves and have them help to guide the development of this —
Thank you, Senator Deacon.
To respond directly to your question, Budget 2025 indicated that the Government of Canada would explore options to seek private capital to scale the operation of the CPFC to serve as a platform for Canadian innovation in new photonics applications. The government plans to attract various private-sector investments and create new opportunities for Canadian companies to expand the development of the critical technology.
