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Western Canada’s digital media sector will receive a major boost thanks to federal funding through Western Economic Diversification Canada. This investment will help Graphics Animation and New Media NCE Inc. (GRAND) improve technology transfer and research commercialization. The announcement took place at the first annual Design Thinking UnConference in Vancouver.

Our investment in GRAND will help provide enormous benefits for B.C.’s vibrant and growing digital economy, said Andrew Saxton, Member of Parliament for North Vancouver and Parliamentary Secretary to the President of the Treasury Board and for Western Economic Diversification, on behalf of the Honourable Lynne Yelich, Minister of State for Western Economic Diversification. This project will provide new technologies, exciting knowledge-based jobs and stronger, more competitive companies.

Funding will help deliver a two-year targeted small- and medium-sized enterprise (SME) outreach, commercialization, and technology transfer program. The program will take place first in British Columbia and then be expanded to Alberta in the second year.

The program will build partnerships and educate the digital media community about GRAND’s activities. Initiatives include targeted work with local SMEs on technology transfer and business creation projects, including the development of research that could form the basis of new companies, and workshops that teach businesses how to attract start-up funding.

The program expects to develop nine technology prototypes, conduct 40 technology demonstrations and bring nine technologies to market. WD funding signals the federal government’s continued support for Canada’s flourishing digital media industry.

GRANDis uniquely positioned to deliver cutting research to the marketplace, explained Kellogg Booth, scientific director, GRAND. Digital media research conducted within our network has the potential to directly impact the products, services and businesses of tomorrow and the everyday lives of Canadians. GRAND researchers are active all across Canada. The WD investment will be a catalyst for our western initiatives.

GRAND NCE is a multidisciplinary, federally funded research network focused in the areas of New Media, Animation and Games. Based in B.C. at the Great Northern Way Campus, GRAND has 24 university members across Canada (including the University of British Columbia, Simon Fraser University, Emily Carr University of Art + Design, University of Victoria, University of Alberta, University of Calgary, University of Saskatchewan and University of Manitoba), and more than 30 industry partners.

Western Economic Diversification Canada works with the provinces, industry associations and communities to promote the development and diversification of the western economy, coordinates federal economic activities in the West and advances the interests of western Canadians in national decision making.

The Canadian Radio-television and Telecommunications Commission (CRTC) has released Navigating Convergence II: Charting Canadian Communications Change and Regulatory Implications, a compilation of independent research and views obtained from CRTC stakeholders, including consumers, public-interest advocates and members of the broadcasting and telecommunications sectors. The first edition of the report was published in February 2010. A PDF version of the latest report is also available.

According to the report, the development and adoption of new devices, products and services is accelerating in Canada. Canadians are rapidly embracing the global digital environment and making their choices and voices known. The evolving environment is also creating opportunities for the communications industry to provide services and content in new and innovative ways.

In 2010, 24% of anglophones and 20% of francophones watched some of their television programming online, including newscasts, sports clips and shows, which were offered by Canadian and foreign services. This trend is expected to continue as these services give consumers the flexibility to catch up on the television shows they have missed, at a time and on the device that is most convenient. As consumers access more online content and services, traffic over Canadian Internet networks is projected to quadruple from 2009 to 2014.

Canadians are also increasingly adopting mobile devices, which can connect to the Internet and deliver content, information and social media services. Between 2010 and 2014, the number of wireless subscribers is expected to rise from 25.8 million to nearly 30 million, with half of them owning a smartphone. At the same time, mobile Internet subscriptions in Canada are predicted to increase significantly from 5.5 million in 2011 to 14 million in 2015.

The report also notes that consolidation has increased in the communications industry. Despite this trend, the introduction of new services, such as those that deliver television programming online or through phone lines (known as Internet Protocol television), and the emergence of new service providers in the wireless market create competitive options for consumers.

Earlier today Ontario Minister of Economic Development and Trade Sandra Pupatello and Cisco Chairman and CEO John Chambers, along with Cisco Canada President Nitin Kawale pledged support for efforts to generate a long-term investment of expertise and technology for the Province of Ontario. The memorandum of understanding (MOU) signed today outlines Cisco’s and the Province’s intention to cooperate in developing initiatives that will help drive key economic development goals and support technology research and development (R&D).

“Cisco is among the many global technology leaders who continue to recognize Ontario’s innovation and the talent of our highly skilled workforce,” said Minister Pupatello.  “Cisco already conducts R&D in the province in technologies critical to their success, and this investment and the MOU announced today are a vital part of our economic strategy to help Ontario turn the corner.”

Ontario and Cisco Canada intend to develop a collaborative framework to focus on key activities to help further the province’s transformational vision and increase productivity by driving innovation and sustainable economic development in strategic areas of health and wellness, energy, smart+connected communities, education and economic cluster development.

The collaboration with Cisco is the latest in Ontario’s ongoing initiatives to partner with private industry to facilitate solution innovation and commercialization, increase research and development and make better use of the province’s broadband capacity.

“Cisco and the Province of Ontario share a long and successful history. This MOU, only the third of its kind in Ontario’s history, is a next stage in our collaborative relationship focused on a shared vision of deploying transformational technology to help achieve sustainable and innovative goals,” stated Cisco Canada President Nitin Kawale. “There is enormous potential to build a solid R&D spring board in Ontario. Cisco is unique in our ability to draw upon the expertise, technology innovation and global best practices to further drive Ontario’s dynamic innovation engine.”

Ontario and Cisco also announced they intend to work together to invest in R&D-focused job development to drive skills development, economic competitiveness and product innovation. The new partnership will explore opportunities to advance strategic objectives including:

• Health & Wellness:
  • Advance the state of telemedicine and help improve access to health and wellness services for remote, rural and First Nations communities
  • Improve the state of collaboration and education for clinicians, hospitals and administrators
  • Enhance the quality and operational excellence of health and wellness services
• Energy:
  • Advance the innovative cluster of Ontario companies focused on increasing energy savings through converged solutions for security, building automation and IT services
  • Explore innovative solutions in energy management
  • Drive environmental sustainability through greater use of Information and Communications Technology (ICT)
• Smart+Connected Communities:
  • Promote the development of environmentally sustainable, smart+connected communities that generate economic growth and better opportunities for citizens who work and live in those intelligent communities
  • Develop innovative approaches to the cost-effective and sustainable delivery of Government services
  • Enhance opportunities for collaboration among Ontario companies through an intelligent community infrastructure
  • Identify opportunities to enhance network infrastructure to facilitate remote work and the virtual workforce
  • Utilize a living lab concept to showcase and pilot smart+connected community solutions and to encourage cities and communities in Ontario to launch similar initiatives
• Education:
  • Increase the reach of higher education and enhance industry collaboration with universities
  • Increase high-skilled job market opportunities for recent post-secondary graduates
  • Utilize Cisco® Networking Academy® programs to bring new skills to First Nations communities
• Economic Cluster Development:
  • Identify strategic partnership opportunities with economic development agencies
  • Facilitate industry collaboration on regional economic development strategies, particularly in northern communities
  • Identify opportunities to increase commercialization of early-stage ventures, and enhance funding opportunities for private enterprises
• The Ontario IT Innovation Initiative:
  • Cisco today outlined an investment target of up to $455 million over the next five years to support R&D, focused on key strategic areas for Cisco, including core routing and switching, collaboration, data centre virtualization and cloud, and video
  • Ontario has committed $25 million to this project to support Ontario’s leadership as a global centre for the development of transformative communications technologies

Cisco Chairman and CEO John Chambers stated that “Ontario has long been globally recognized as a centre of excellence for IT innovation. Both the Province and Cisco share a dynamic vision for building on the substantial IT R&D capability resident here and we see a key opportunity to join forces to further Ontario’s innovation machine. This collaboration and co-investment is an excellent example of how governments can partner with industry to help drive innovative strategies.”

More children in southern Ontario will be able to experience real-world scientific issues and innovations thanks to an investment in Actua announced by Peter Braid, Member of Parliament for Kitchener-Waterloo, on behalf of the Honourable Gary Goodyear, Minister of State for the Federal Economic Development Agency for Southern Ontario (FedDev Ontario).

“Our Government recognizes the importance of preparing young people for today’s high-tech economy,” said MP Braid. “By developing our next generation of scientists, technologists, engineers and mathematicians, we can help drive innovation and keep the economy growing in southern Ontario for years to come.”

Actua, a national science, engineering and technology youth outreach network, will receive up to $1.25 million to enhance its customized programming designed to engage youth who are typically underrepresented and underserved in science, technology, engineering and mathematics (STEM) fields. This includes Aboriginal youth, girls, underprivileged youth, at-risk youth and youth living in remote areas or inner-city neighbourhoods. The funding will help Actua create more spaces in southern Ontario for children to participate in summer camps, classroom workshops, clubs and community outreach activities. These are delivered by university undergraduate students in science, technology and engineering programs who are instructors for Actua network members.

“We are extremely pleased to have this opportunity to grow our southern Ontario members’ capacities to deepen the impact and broaden the reach of our STEM programming, especially for youth who are underserved and underrepresented in STEM. This FedDev Ontario contribution will enhance Actua’s significant contributions to building the next generation of Ontario innovators!” said Jennifer Flanagan, President and CEO of Actua.

The investment is provided through FedDev Ontario’s Youth STEM Initiative, aimed at encouraging students in kindergarten through grade 12 to pursue an education or career in the STEM fields. For more information about the program and Actua, please refer to the backgrounder.

FedDev Ontario was created as part of Canada’s Economic Action Plan to support businesses and communities in southern Ontario. Now in its second year of operation, the Agency has launched a number of initiatives to create a Southern Ontario Advantage and place the region in a strong position to compete in the global economy. These initiatives are designed to support businesses and other organizations through partnerships and investments in skills and training; innovation; research and development; and increased productivity. To learn more, please visit the web site or call 1-866-593-5505.

The Honourable Denis Lebel, Minister of Transport, Infrastructure and Communities and Minister of the Economic Development Agency of Canada for the Regions of Quebec, announces that Youth Employment Services (YES) will receive $1,012,022 in non-repayable funding to continue financing its Entrepreneurship program for a three-year period ending March 31, 2014.

“The Government of Canada is proud to support Youth Employment Services, which plays a crucial role in encouraging young members of the Greater Montréal English-speaking community to go into business for themselves,” said Minister Lebel.

This assistance will enable YES to continue offering services, including personalized counselling, business management training, networking and mentoring programs, to help the region’s youth in their efforts to start up a business.

In 2009-2010, some 2,200 young clients availed themselves of the organization’s services, for a total of nearly 9,000 visits. Each year, YES lends its support to the creation of about 200 small and medium-sized enterprises. This funding has been granted through the Community Diversification program.

via CMF email: The Canada Media Fund has extended an invitation to Canadian content creators to participate in its on-line consultation about changes for the 2012-13 programs.

The Canada Media Fund has launched a new « Outreach and Consultation »  section on its website. This section will keep you informed about the discussions held by the various working groups and the Digital Media Measurement Advisory Committee concerning certain policy issues in view of changes for the 2012-2013 programs. You are invited to submit your comments and opinions on the discussion forum.

All documents presented and discussed during the working groups and the advisory committee meetings, as well as the calendar of meetings, will be available for download. You are invited to consult the updates on a regular basis and share your concerns on the discussion forum.

Despite various global economic challenges, the digital media and video game industries continue to thrive. People like to play games – especially in tough times. Over the past two years, Canada’s gaming industry has expanded 11 per cent annually and is forecasted to grow 17 per cent in each of the next two years. Executives from the Ontario Technology Corridor are at GamesCom to demonstrate the province’s “winning combination” of talent and tax credits. Canada is one of the world’s top three game producing nations.

Larry MacKinnon, Director of Business Development for Technology in London Ontario and member of the Ontario Technology Corridor, says “Ontario continues to offer the talent and the financial incentitves that make this region such a strong part of the digital entertainment industry. Our job at GamesCom is to add to our tremendous home-grown crop of companies and help demonstrate that Ontario is a prime destination in North America for gaming investments.”

Federal and Ontario provincial research and development tax credits combine to give Canada the most favourable tax treatment among G-8 countries — giving Ontario innovation companies the ability to cut R&D expenditures by up to 63%.

In 2011 Ontario’s gaming advantage has scored several wins:

Arkadium Inc.

On July 19, 2011, this global leader in online games opened a Toronto office to focus on mobile gaming titles. Company executives stated “key factors” in the move were assistance from the Ontario government and the Digital Media Tax Credit, plus help from the Greater Toronto Marketing Alliance. Arkadium’s Toronto office has a goal of producing ten new games to introduce to the market within the next 12 month.

Gameloft Inc.

This France-based company has started hiring 205 people for a new Toronto office that will be a state-of-the-art gaming studio. The company also confirms the key role played by the provincial tax credit. The company’s General Manager for Canada, Mario Poulin says, “We remain at the top of our game by partnering with jurisdictions like Ontario where there is a real interest backed by sound policies to make the gaming sector a strong contributor to the economy and the creation of jobs.“ Gameloft posted 15 per cent revenue growth in the first part of  2011.

Silicon Knights Inc.

Also in July, Silicon Knights announced it will nearly double its staff by adding 80 new jobs. Ontario government tax credits combined with the company’s own invesment will allow the studio to improve its technology, create new products and become a self-publishing company.

Morro Images Inc.

Morro is working with Silicon Knights as Morro Images expands their current visual effects operation in St. Catharines. Morro is a sister firm to Morro Images of Potsdam-Babelsberg, Germany, and is also a supporter of nGen, the Niagara Interactive Media Generator, a hub for business development of digital media companies. nGen hosts the Generator at One motion capture facility which will serve as headquarters for the new Ontario Augmented Reality Network.  Brock University recently received funding from the Ontario Media Development Corporation to develop the Network.

Ontario’s lead agency for provincial incentives in digital media is the Ontario Media Development Corporation (OMDC).  Darius Basarab, Senior Business Development Specialist with the Ontario Ministry of Economic Development and Trade is headed to GamesCom and says, “Ontario is well positioned to compete with other jurisdictions who are trying to attract gaming firms and we have a lot to offer – that will be one of my message at the conference.” To date the OMDC IDM Fund has contributed $7.7 million to 76 projects with budgets totaling $32.7 million – and continues to offer the following incentives:

• Ontario Interactive Digital Media Tax Credit – refunds 35-40 per cent of eligible production costs
• Ontario Computer Animation and Special Effects Tax Credit – refunds 20 per cent of labour costs
• OMDC Interactive Digital Media Fund – up to $150,000 in project production funding, up to a maximum of 50% of the project budget.

Ontario’s fast-growing entertainment and creative cluster employs nearly 300,000 while contributing $12.2 billion to the province’s GDP. In addition, 22 Ontario colleges and universities produce18,000 graduates per year from174 specialized digital media programs including 3D animation, film studies, advanced computer programming, math, and hardware engineering.

The C.D. Howe Institute, which studies social and economic policies, notes Canada’s international reputation as a destination for capital and investment is better than it has been for a generation.

Canada’s federal corporate income tax rate will fall from 18 per cent in 2010 to 15 per cent by 2012 — less than half of the top U.S. federal marginal corporate income tax rate, and the lowest in the G7 plus the lowest R&D costs in the G7, with a 12.9 per cent advantage over the U.S. Canada also has the world’s soundest banking system according to the World Economic Forum.

The Honourable Denis Lebel, Minister of Transport, Infrastructure and Communities and Minister of the Economic Development Agency of Canada for the Regions of Quebec, has announced that the First Nations of Quebec and Labrador Economic Development Commission (FNQLEDC) has been granted $98,201 in non-repayable funding for the establishment of First Nations young entrepreneur clubs.

“The Government of Canada supports the creation of these clubs, whose primary mission will be to stimulate entrepreneurship among young members of the First Nations,” explained Minister Lebel.

Allocated over a three-year period, this financial assistance will enable the FNQLEDC to hire a coordinator to organize a variety of activities for First Nations community members between the ages of 18 and 35. These will include, among other things, conferences with Native entrepreneurs, enterprise visits, networking events, information sessions on the resources available to young entrepreneurs looking to start a business, and a series of training sessions. In the first year, the clubs will draw their clientele from various Native communities, including those in Lac Simon, Kitigan Zibi and Uashat.

This contribution from the Government of Canada has been granted through the Community Diversification program.

From Canadian legal firm Borden Ladner Gervais LLP: Expected to come into place this fall, Canada’s new Anti-Spam and Online Fraud ActB (Bill C-28) is one of the most rigid in the world, and will have serious implications for any business that sends commercial electronic messages, including e-mails, texts, instant messages, or social media messages, to customers or suppliers in Canada.

Also affected are businesses that route data through Canadian servers, whether or not that information is intended for Canadian consumers. The new act, which is designed to prohibit unsolicited and misleading electronic communication and online fraud, outlines a number of new offences, enforcement mechanisms, and severe penalties of up to $1 million for individuals and $10 million for organizations. Businesses must move swiftly to ensure compliance and reduce risk.

“This new legislation will impact any American business that communicates with Canadian customers or transmits data through Canadian servers. For most organizations, the key part of the act is the new rules of consent around almost every commercial e-mail, text or social media message a business sends,” said Barbara McIsaac, counsel in BLG’s Ottawa office who specializes in privacy and access to information law. “Unless the recipient has given consent – or opted-in – to receive the communication, and the message complies with very specific formalities, businesses are going to find it much more difficult to send electronic messages with commercial content. Businesses, including directors and officers, are facing much greater risk.”

In many countries, including the U.S., recipients are offered the option to “opt-out” once an e-mail message is received. When e-mailing Canadian customers, businesses will be required to obtain recipient consent prior to sending the message. What may prove challenging for many businesses is the need to obtain consent without the ability to send a message requesting consent.

To reduce risk once the act comes into place, BLG recommends that businesses begin preparations now, and offers the following tips:

1. Conduct an internal audit to account for all external-facing electronic communications distributed by the organization. Consider relevant third parties such as distributors or marketing agencies, and the location of any external servers.

2. Establish procedures to ensure that all customer or supplier-facing messages are accurate and comply with new requirements, including information disclosure language and an unsubscribe mechanism that is promptly implemented.

3. Obtain and maintain an accurate and current list of recipients’ consent to receive messages. Instances of express and implied consent should be handled separately to ensure clarity and compliance.

4. Revise contracts with any relevant third parties that distribute electronic messages on behalf of the organization to require compliance with the act.

5. Clearly communicate and educate relevant employees on policies that need to be implemented as a result of the act. Consider holding staff training programs to ensure everyone is clear on both the guidelines and the risks.

6. Put into place a gate keeping process to ensure that established procedures for monitoring compliance are being followed.

7. Obtain insurance to protect the business, corporate directors and officers from liability.

From Constant Contact: Canada’s Anti-Spam Law (CASL), Bill C-28, may not be in effect until early 2012, but that doesn’t mean that small businesses and organizations should wait to make sure they are prepared for the new legislation. Marketing advisor Constant Contact^®, Inc. is offering its insights to help small businesses and nonprofits across Canada – as well as any others communicating with people in Canada – prepare for compliance.

“The general guidelines set forth by Canada’s new anti-spam legislation actually mirror what Constant Contact has been promoting for years—the ‘best practices’ that make email and social media marketing most effective,” said Lisa Kember, Constant Contact regional development director for Toronto. “By following best practices, marketers not only set themselves up for success, but also put themselves in a better position to comply with the law when it goes into effect.”

The Canadian Government passed CASL in December 2010 to establish a regulatory framework for permission-based marketing, including email marketing, social media marketing, text, and other electronic messaging. This framework will protect electronic commerce in Canada, deter damaging and deceptive forms of spam, such as identity theft, phishing and spyware, and drive out spammers.

“Education and awareness are key to ensuring that organizations are proactively evaluating their contact list collection methods and practising permission-based online marketing,” said Guy Steeves, Constant Contact regional development director for Vancouver. “With or without the legislation, there are many things that small businesses and organizations can do now, and we want to be sure they know we’re here to help.”

Following are 10 permission-based online marketing best practices that small businesses and organizations can use to spruce up their marketing efforts and prepare for CASL:

1. Be Respectful – Ask for permission to communicate with your contacts. Some email marketers have operated for years with implicit consent to use an address obtained through relationships with customers or clients, but this will no longer be enough once the new legislation goes into effect. There will be a grace period for obtaining explicit consent through opt-in, however anyone who has gathered their contacts with implied consent will eventually have to convert them to explicit. Start gathering explicit consent from your new and existing contacts now so that you are ahead of the game.

Also, recognize that permission can be given, but it can be taken away too. Make sure every email you send has the option for the recipient to unsubscribe or “opt-out.” Interests may change over time and communications may no longer be valuable to a given subscriber. Those subscribers are entitled to withdraw their permission at will.

2. Be Specific – When people sign up for your email list, allow them to select—precisely—their areas of interest (e.g., newsletters, sale notifications, new product or service announcements, event invitations). You can make subscribers feel more comfortable by specifying what they will receive and when they will receive it (e.g., “Sign up for Our Weekly Concert Announcement”). Also, be sure to identify yourself to your subscribers in the “From:” line, and use the name they recognize most easily – your name or your company name.

3. Be Trustworthy – Your privacy policy should be clearly posted, and your address and phone number should be included in all email communications. This adds credibility to your company and your emails even if recipients do not click on the link.

4. Be Straightforward – Remind recipients why they are receiving an email from you. Whether they are a valued customer, a prospect who expressed interest, or a client you want to keep in touch with, the reminder will enhance recognition of your business and put your email into context, thus differentiating your communications from unwanted email.

5. Be Interested – Are your email communications adding value? Is the frequency right? A survey is an inexpensive, easy, and immediate way to find out how your customers really feel about your company and your email communications. So, when you do a survey, don’t forget to ask how your customers feel about your emails.

6. Be Current – People change ISPs, jobs, and email addresses frequently. Often, you’ll be the last to know. Ask for updated information and give subscribers an easy way to change their email address. In addition, provide a way for your subscribers to change their profile, interests and preferences to help you target the right content for the right audience.

7. Be Considerate – Respect the privilege of communicating with your customers and prospects by taking care not to communicate too often. Gratuitous emails are not met with gratitude. Think carefully and plan how many, and what kind of communications you send to your subscribers.

8. Be Diligent – Some subscribers will reply to an email to unsubscribe instead of using the automatic unsubscribe link. Monitor your inbox for unsubscribes and complaints, then make sure you remove unsubscribe addresses right away and take action on any grievances.

9. Be Observant – Look at your reports! There’s a wealth of information just waiting to be discovered. Always pay attention to how many people are unsubscribing from your emails. If you are losing more than .5 percent of your subscribers per month, take a look at all of the elements of your campaigns, make sure you’re following the other nine tips, and make adjustments where you’re falling short. Opens and click-throughs can also indicate where you might be missing the mark.

10. Beware – Beware of strangers bearing lists! Permission is not transferable. Today, subscribers want to receive email from those companies they have subscribed to, not an unknown third party. If anyone claims you can “Blast your ad to over 1,000 safe addresses for only $5.00!” or “Buy a CD with 10,000,000 email addresses for only $99!” this is too good to be true. These lists are not permission-based—they are spam lists.

You can get more information on this and a variety of topics at Constant Contact’s online learning centre. There are also a number of educational seminars in BC and Ontario that may interest you.