This report provides a comprehensive overview of the digital services market in Canada and Avasant’s outlook on its future trajectory, which can help enterprises fine-tune their digital strategies.

Why read this Market Insights?

Canada’s digital services landscape is evolving rapidly as enterprises embrace AI, cybersecurity transformation, and cloud-first strategies to boost productivity and resilience. With increasing focus on upskilling to bridge the digital talent gap and partnerships with startups to deliver personalized experiences, Canadian firms are positioning themselves for sustained innovation. Additionally, strong government support for clean technologies and ESG-driven growth underscores Canada’s commitment to building a secure, sustainable, and digitally empowered economy.

The Canada Digital Services 2025–2026 Market Insights™ aids enterprises in Canada in identifying important market trends and challenges for any digital project they participate in.

Methodology

The industry insights presented in this report are based on the following: our ongoing interactions with enterprise CXOs and other key executives; targeted discussions with service providers, subject matter experts, and Avasant Fellows; analyst insights from primary and secondary research; and lessons learned from consulting engagements.

Table of contents

About the report (Page 3)

Executive summary (Pages 6–9)

• • Regional scope of the report
  • Key drivers and regional response
  • Avasant recognizes 21 top-tier service providers supporting Canada in digital transformation

Canada: State of the market (Pages 10–16)

• • Only about 12% of Canadian firms have integrated AI into operations, highlighting a significant need for broader adoption to enhance efficiency and competitiveness.
  • A rapid increase in cybersecurity threats has driven the adoption of AI-powered zero-trust architecture and expanded government investment across Canada.
  • As outdated systems drain budgets, Canadian enterprises turn to cloud-first innovation to restore efficiency and secure digital progress.
  • Low digital skills and talent shortage continue to critically limit Canadian enterprises’ growth and demand for services.
  • With an increase in demand for personalized experiences from customers, Canadian enterprises are partnering with startups specializing in AI and digital solutions.
  • Canadian enterprises are increasingly adopting clean technologies to meet sustainability targets and global ESG standards.

Key contacts (Page 17)

Read the Research Byte based on this report. Please refer to Avasant’s Canada Digital Services 2025–2026 RadarView™ for detailed insights on the service providers and supply-side trends.