Federal government launches digital transformation agency to modernize federal services

Agency will use federal buying power to bolster Canadian digital and AI companies

Ottawa is launching a new federal organization that promises to make use of digital technologies to improve Canadians' access and experience with government services.

A news release from the Prime Minister's Office (PMO) on Thursday outlined the creation of Digital Transformation Canada, which also aims to refine how the government develops, buys and uses technology, among a slew of other priorities.

The PMO also announced Digital Transformation Canada's new CEO, Patrick Pichette.

Pichette was Google's chief financial officer between 2008 and 2015 and was also an executive at Bell Canada, McKinsey and Spring Canada.

"The addition of Patrick Pichette will bring world-class expertise in digital transformation, innovation and organizational change to help advance this crucial work," Prime Minister Mark Carney said in a statement.

According to the PMO, the new agency will look to scale digital solutions, including artificial intelligence, government-wide to reduce duplicative work and operative costs and strengthen digital sovereignty and security.

"By modernizing public service delivery, reducing duplication and supporting the growth of Canadian technology firms, we will strengthen our economy, improve outcomes for Canadians and position Canada to lead in the digital age," Carney said.

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The release said the agency will also equip public servants with tools to reduce administrative burden to improve efficiency in delivering government services.

It also said the agency would employ federal funds to support Canadian AI and digital companies test, scale and commercialize new technologies.

The new agency will fall under the purview of Minister of Government Transformation, Public Works and Procurement Joël Lightbound, and combine Shared Services Canada with parts of the Treasury Board Secretariat, Public Services and Procurement Canada and Employment and Social Development Canada.

David Cummings is a reporter for CBC News.