Calgary in the New Economy

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Business attraction, expansion & retention

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Startup Calgary & support for the

innovation ecosystem

4

-5.0%

6.8%

-3.8%

5.0%

2.9%

-6%

-4%

-2%

0%

2%

4%

6%

8%

10%

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Annual Real G

DP G

row

th R

ate

Annual Real GDP Growth Rates Across Canada

Vancouver Edmonton Calgary Toronto Ottawa Montreal Canada

Source: Millions $ 2012, Conference Board of Canada, October 2019

5

-0.4%

2.0%

2.8%

2.5%

-0.5%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

2019F 2020F 2021F 2022F

Annual Fore

caste

d R

eal G

DP G

row

th R

ate

Annual Forecasted Real GDP Growth Rates Across Canada

Vancouver Edmonton Calgary Saskatoon Toronto Ottawa Montreal Canada

Source: Millions $ 2012, Conference Board of Canada, October 2019

6

7.1%

870.10

936.60

200.0

300.0

400.0

500.0

600.0

700.0

800.0

900.0

1,000.0

2%

3%

4%

5%

6%

7%

8%

9%

10%

11%

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

Jan

Mar

May

Jul

Sep

Nov

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

La

bo

ur

Fo

rce

& E

mp

loy

me

nt

(th

ou

sa

nd

s)

Un

em

plo

ym

en

t R

ate

Calgary CMA Historical Unemployment

Rate, Labour Force & Employment

Unemployment Rate Employment Labour Force

Cycle highs and lows

Source: Statistics Canada, December 2019

7

4.5%

6.3%

7.5%

6.0%

5.0%

6.0%5.8% 5.7% 5.6% 5.6%

4.8%

8.0%

7.1%

4.4% 4.4%

6.0%

5.3%

6.0%5.7% 5.6%

0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

Vancouver Edmonton Calgary Toronto Ottawa Montreal Winnipeg Regina Saskatoon Canada

Unemployment Rate Across Canada

December 2018 December 2019Source: Statistics Canada

8

7.3%

10.4%

13.6%

12.1%

10.8%

12.3%

13.5%

6.9%

9.0%

10.9%

8.2%

17.1%

13.4%

12.0%11.5%

11.8%11.7%

10.8%

9.4%

11.5%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

Vancouver Edmonton Calgary Regina Saskatoon Winnipeg Toronto Ottawa Montreal Canada

Youth Unemployment Rate Across Canada(Ages: 15 to 24 Years)

November 2018 November 2019Source: Statistics Canada

9

1.3%

-1.4%

3.3%

0.1%

0.9%

0.7%

4.5%

8.5%

0.0%

2.4%

15.2%

5.7%

7.3%

1.6%

6.3%

7.4%

14.6%

12.6%

8.9%

7.5%

24.2%23.3%

22.5% 22.4% 22.5%

13.4%

25.0%

17.7%

15.0% 14.7%

-5%

0%

5%

10%

15%

20%

25%

30%

Vancouver Edmonton Calgary Regina Saskatoon Winnipeg Toronto Ottawa Montreal Canada

Gro

wth

Rate

Employment Growth Across Canada

12-Month Employment Growth 5-Year Employment Growth 10-Year Employment Growth

Source: Statistics Canada, December 2019

10

2.8%, Information

& Cultural

1.5%, Information

& Cultural

2.1%, Arts,

Entertainment, Recreation

2.9%, Arts,

Entertainment, Recreation

5.4%, Public Administration3.3%, Public Administration

4.3%, Wholesale Trade

3.7%, Wholesale Trade

4.6%, Other Services

4.7%, Other Services

7.9%, Manufacturing

5.3%, Manufacturing

6.1%, Educational Services

5.9%, Educational Services

5.7%, Transportation &

Warehousing

6.7%, Transportation &

Warehousing

5.3%, Accommodation &

Food Services7.0%, Accommodation &

Food Services

11.3%, Primary & Utilities

7.3%, Primary & Utilities

9.9%, Finance & Insurance, Real Estate

8.8%, Finance & Insurance, Real Estate

5.6%, Construction

9.5%, Construction

13.0%, Retail Trade

10.7%, Retail Trade

7.1%, Professional,

Scientific & Technical11.1%, Professional,

Scientific & Technical

8.8%, Health Care & Social Assistance

11.6%, Health Care & Social Assistance

1987 2018

Calgary Historical Employment by Industry

Source: Conference Board of Canada, October 2019

Total

Employment: 367,775

Total

Employment: 837,050

11

$56,121

$68,259

$84,630

$67,297

$70,724

$51,655

$59,403

$54,927

$45,704

$52,266

$0

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

$70,000

$80,000

$90,000

$100,000

VancouverEdmonton Calgary Regina Saskatoon Winnipeg Toronto Ottawa Montreal Canada

20

18

Annual GDP per Capita Across Canada

Source: The Conference Board of Canada, October 2019, Statistics Canada, March 2019; Population updated annually in March

A leader ineconomic power, with the highest annual GDP per capita of major

cities in Canada

12

11,296 11,297 10,994 11,191 11,345 11,969 12,031 12,314 11,552 11,388

9 6692,952 2,446 1,926 1,477 1,511 742 2,559 2,3384,668

-2,102

1,167

9,41513,680 12,160

7,239

-4,424 -5,620

100

18,033

10,6449,104

15,992

19,92919,004

8,494

17,77512,585 12,866

-782-687

-842 -2,588 -2,571 -2,538 -2,408

-1,725

-10,000

0

10,000

20,000

30,000

40,000

50,000

60,000

2008-2

009

2009-2

010

2010-2

011

2011-2

012

2012-2

013

2013-2

014

2014-2

015

2015-2

016

2016-2

017

2017-2

018

Popula

tion G

row

th

Calgary CMA Components of

Population Growth

Natural Increase Net Intraprovincial Migration Net Interprovincial Migration

Net International Migration Residual Deviation

24,68226,867

42,072

24,30223,375

19,821

33,224

In 2017/18, 48.2% of migrants to Calgary were from international origins. Over the last 5 years, 43%

of people moving to Calgary were of international origin

Source:Calgary Census Metropolitan Area (CMA), Statistics Canada, July 1, 2018 (Updated April 2019)

44,309

40,25136,45640,251

21,076 26,692

International migration

accounted for59.7 percent of 2016 population

growth

13

MANUFACTURING

Material optimization

Asset tracking

Next-generation

customer care

Autonomic operations

Channel management

Connected service

DIGITAL TRANSFORMATION

ACROSS INDUSTRIES

14

ENERGY

Digital twin

Remote monitoring

Clean energy tech

Autonomous

vehicles

Energy storage

solutions

Electrification

AGRIBUSINESS

Ag tech

Precision agriculture

Crop science

Animal genetics

Livestock monitoring

LOGISTICS

Intelligent

transportation

Fleet optimization

Digital supply chain

and logistics

automation

Robotics and

manufacturing

Aerospace, defense

and autonomous

systems

LIFE

SCIENCES

Biotechnology

Genomics

Medical devices

Imaging

Health tech

Wearable

technology

CREATIVE

INDUSTRIES

Film & TV

Digital animation

Music

Calgary Film Centre

Digital media

Gaming

FINANCIAL

SERVICES

Fintech

Cyber security

Digital banking

Identity

management

Process

optimization

Artificial Intelligence | Internet of Things | Machine Learning | Blockchain | AR/VR

15

$18.4B in Digital Spend

MANUFACTURING

GROWING AT

24%

$1.5 billion on digital

transformation by 2022, and

growing at an annual rate of

over 24% per year

FORECASTED DIGITAL TRANSFORMATION SPEND

$18.4B IN ALBERTA BY 2022

16

ENERGY

$4.2

BILLION

Investment in

digitization

across energy

(Power & Utilities,

Oil & Gas, etc.) in

Canada is forecast

to more than $12

billion through

2022; with $4.2

billion in Alberta

AGRIBUSINESS

FASTEST GROWING

Agribusiness is

forecast to be the

fastest adopter

of digital, growing by

approximately 25%

through to 2022

LOGISTICS

$1.1

BILLION

Forecast to reach

$1.1 billion and

growing at a rate of

19% by 2022

LIFE

SCIENCES

GROWING

AT 21%

Projected to be $1.3

billion, growing at

an annual rate of

over 21% per year

CREATIVE

INDUSTRIES

19% OF

CANADA

$2.4 billion will be

spent by

2022, approx. 19%

of Canada’s spend

in this sector

FINANCIAL

SERVICES

$1.1

BILLION

Forecast to reach

$1.1 billion and

growing at a rate

of 17% by 2022

Source: IDC Canada,2019; All percentages are compound annual growth rate (CAGR)Digital Transformation Spending forecasts were developed in partnership with IDC Canada. They are based on industry classific ations provided by Calgary Economic Development and IDC’s Digital Transformation Spending Guide (Release Version 1H18).

17

ECONOMIC STRATEGY

VISION

Calgary is the city of choice in Canada for the world’s best entrepreneurs.

We are embracing technology to solve the world’s greatest challenges.

17

1818

CLEANERENERGY

SAFER & SECURE

EFFICIENTTRANSPORT

BETTER

FOOD

HEALTH SOLUTIONS

CALGARY HAS

DIVERSE EMPLOYERSAGRIBUSINESS

19

LIFE SCIENCES/HEALTH FINANCIAL SERVICES OTHER & GENERAL

TECH

DEAL FLOW STUDY

TRENDS IN CALGARY

OVERVIEW

• 1,238 Alberta tech companies

were identified in the 2018

study

• 62% of all Alberta tech

companies and startups are in

Calgary

• 52% are scaling

CAPITAL

• 26% of Calgary companies have

$1M+ in annual revenue

• 73% are currently seeking

funding

• 76% of the funding has been

raised locally (from Calgary

based sources); 30% from other

parts of Canada; 26% from the

US

SECTORS

• 92% of Calgary companies sell

to private industry and 36% to

individual consumers

• 54% have a SaaS offering

• 36% incorporate AI/machine

learning in their product

• 30% have participated in an

accelerator program

20

Source: Start Alberta, 2018 Alberta Tech Deal Flow Study

RECENT NOTABLE

ENERGY TECH INVESTMENTS

21

Blackline Safety (TSXV:

BLN) provides

comprehensive live-

monitoring and wireless

gas detection and

received a $1 million

purchase order for G7x

wearables featuring

satellite communication

and service plans

Interface Fluidics

developed a

nanotechnology platform

that optimizes oil

production company and

recently raised a Series A

round of $6 million

Eavor Technologies has

invented a new

geothermal power

generation technology

that overcomes all the

traditional roadblocks of

geothermal and has

raised $15 million in

Series A

Ingu Solutions’

technology disrupts the

pipeline inspection

industry and recently

raised capital from Energy

Innovation Capital and

Chevron Technology

Ventures

RECENT

AGRIBUSINESS EXPANSIONS

22

Following the merger with

Monsanto, Bayer CropScience has

chosen Calgary, AB as its new

Canadian headquarters

Sleeman Breweries, Canada’s third-

largest brewery and a subsidiary of

the Japanese multinational beer

giant Sapporo Breweries, acquires

Calgary-based Wild Rose Brewery

Chemical giant BASF Corporation

has relocated its Agricultural

Solutions headquarters operations

from its existing Mississauga office

to Calgary

RECENT NOTABLE

FINTECH INVESTMENTS

23

Clio, a cloud-based legal

technology company

raises $330 million in

Series D and has offices

in Dublin, Calgary,

Toronto, and Los Angeles

US bank Morgan Stanley’s

acquired Calgary-based

Solium Capital for $1.1

billion, and rebranded to

Shareworks

Benevity, a global

software social enterprise

that develops workplace

giving and volunteer

management software

solutions, has raised $40

million in a Series C

round of funding

ZayZoon, a leading

provider of Wages On-

Demand and employee

financial payroll features,

raises $15 million in

financing

RECENT

HEALTH INVESTMENTS

24

HATCH-YYC is Calgary’s first health

technology accelerator to provide

companies a platform to accelerate

market access and improve patient

care. With $1 million in funding over

three years, HATCH-YYC expects to

graduate 20 companies by Sept 2022

Calgary-born Parvus Therapeutics

partners with Genentech, a San

Francisco-based biotechnology

company in a deal with $1 billion to

develop and commercialize drugs for

the treatment of inflammatory bowel

disease, autoimmune liver diseases,

and celiac disease

Life Sciences Innovation Hub

receives $8.5 million for

programming that will support

turning advanced research into

commercial ventures and is forecast

to incubate 20 to 40 life sciences

companies per year

RECENT

OFFICE OPENINGS IN TECH

25

Cisco Canada is investing

$15 million in Western

Canada's secure digital

transformation

WeWork has expanded

into Calgary with two

coworking locations—The

Edison and Stephen

Avenue Place

Finger Food Advanced

Technology Group will

open a centre in Calgary,

providing 200 full-time

jobs by 2023 for highly-

skilled design, software

development and

management

professionals

AMD, an American

multinational

semiconductor company

based in Santa Clara

expands to Calgary

focusing on the

development of its GPU

software engineering

talent

26

Labour Demand

Oil and Gas employment in Canada is expect to shrink by 7%, or 12,500 positions, to 173,300 workers in 2019 from 185,800 workers in 2018.- 2019 Oil and Gas Labour Market Update, PetroLMI, April 2019

ICTC forecasts Alberta will see demand for nearly 9,000 digital jobs by 2023.- ICTC, A Digital Future for Alberta, June 2019

The Logistics sector in Alberta will grow by about 7,470 workers from 2016 to 2025.- APGC, 2016

Finance, Insurance & Real Estate will grow by 1.6% annually, reaching 4.8% of total employment in 2019 and gain 68,100 jobs by 2024.- Government of Alberta, 2016; Statistics Canada, 2016

Clean Tech and Clean Resources in Canada will see a demand for approximately 25,500 and 10,500 workers respectively, by 2023.- Canada’s Growth Currency: Digital Talent Outlook 2023, ICTC, 2019

Manufacturing accounts for 5.2% of total employment in Alberta and is expected to grow at an average rate of 1.0% from 2017 to 2021.- industry Profiles 2018, Manufacturing, Government of Alberta, 2018

Agriculture will need to fill 23,300 potential jobs in Alberta by 2025.- AgriLMI CAHRC, 2016

Energy Efficiency employed 436,000 permanent workers in Canada in 2018, with expected growth of 8.3% in 2019, creating over 36,000 jobs.- Energy Efficiency Employment in Canada, ECO Canada, April 2019

Market Demand

• “Canada’s digital economy is predicted to

continue to grow significantly over the next

five years.”

• “By 2021, employment in Canada’s digital

economy will reach 1.63 million jobs, creating

approximately 216,000 new vacancies which

will need to be filled with qualified talent.

• If AB’s share of the Canadian ICT sector stays

constant (or grows), that equates to at least

35,000 new jobs by 2021

The Digital Talent Dividend: Shifting Gears in a Changing Economy. Information and Communications Technology Council (ICTC), Ottawa, Canada. Cutean, A., Ivus, M. (2017).

28

Calgary Companies Hiring Tech

Glassdoor Indeed

Glassdoor Indeed Glassdoor

Cisco Systems Attabotics Arcane

Clio Boast Capital Autodata Solutions

Decisive Farming Circle Cardiovascular ImagingBrightsquid Secure Communications

Corp

Hexagon Collage.com Evans Hunt

Nasdaq H.B. Studios Multimedia Limited Languages in Motion (LIM)

P2 Energy Solutions Localintel Pason Systems Corp

RS Energy Group LodgeLinkThe Professional Petroleum Data

Management Association

Sercel Pangea Global, LLC Routeique Inc.

Suncor Energy Inc. Streamsim Technologies, Inc. Vantix Systems

Sunnyfuture Group Trimac Vista Projects Limited

Software Engineer / Developer Computer Programmer / Web Developer

January 2020 January 2020

From and (as of Sept. 15, 2019)

Software Developer jobs

• Indeed –302

• LinkedIn –432

Data Analyst jobs

• Indeed – 244

• LinkedIn – 102

IT Project Manager

• LinkedIn – 548 9though

Information Technology jobs

• Indeed – 858

• LinkedIn - 427

Market Demand

Summer 2019 career portal snapshot supports this trend (125 company websites)

Market Demand

Uptick in New Tech Training

+

+

+

+

Technical Workforce is Growing

+

+

+

+

+

+

+

Employment Outcomes

0 1 2 3 4 5 6 7 8 9

<50%

50% - 74%

75% - 89%

90% - 100%

# of Programs

Gra

duate

s F

indin

g J

obs in 6

month

s (

%)

# of Programs Resulting in Graduates Finding Jobs within 6

months of Program Completion

34

1-4 Employees,

36,478, 62.3%

5-9 Employees, 8,936,

15.3%

10-19 Employees,

6,109,10.4%

20-49 Employees, 4,258, 7.3%

50-99 Employees, 1,549, 2.6%

100-199 Employees, 730,

1.2%

200-499 Employees,

356, 0.6%

500+ Employees,

136, 0.2%

Calgary CMA Business Establishments by Number of Employees

Source: Statistics Canada, June 2019

Total58,552

All Industries

58,552

Small Business (1-49)

55,781

35

97.8

74.8

94.993.3

65.1 66.1

77.2

8.6%

2.2%3.4%

4.4%

-1.5%

-0.1% 1.9%

13.4%

21.07%

18.17%

26.9%

-0.5%

-0.8%

6.2%

-5%

0%

5%

10%

15%

20%

25%

30%

0

10

20

30

40

50

60

70

80

90

100

110

Vancouver Edmonton Calgary Toronto Ottawa Montreal Canada

10-Y

ear G

row

th in

Tota

l Num

ber o

f Self-E

mplo

yed

Num

ber

of Self-E

mplo

yed p

er

Capit

a (per

1,0

00 p

opula

tion)

Self-Employed per Capita and 10-Year Growth

Self-Employed per Capita (per 1,000 population) 2018 Growth Rate 10-Year Total Growth (2009-2018)

Source: Statistics Canada, 2018, per 1,000 Population

37

TALENT

CALGARY IN THE NEW ECONOMY

INNOVATI

ONPLACE

BUSINESS

FRIENDLY

39

Court Ellingson

cellingson@calgaryeconomicdevelopment.com

calgaryeconomicdevelopment.com

3200, 500 Centre St SE, Calgary, AB T2G 0E3

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