Closed
Round 2 Product Development for IoT Device Challenge
Funding for Canadian IoT product development
Last Update: April 27, 2026
Funding available
$ 1,000,000
Timeline
- Receipt of requests is now closed
Location
Canada
Overview
Up to $1M in non-repayable funding is available to support IoT product development. The program backs the design, development, and commercialization of advanced sensors and other semiconductor products for Edge AI and ocean and marine IoT applications.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Increase performance through digital transformation
- Develop strategic partnerships
- Attract or retain talent
Eligible Funding
- Maximum amount : 1,000,000 $
- Up to 37% of project cost
Timeline
- Receipt of requests is now closed
Eligible candidates
Eligible Industries
- Manufacturing
- Transportation and warehousing
- Professional, scientific and technical services
- Educational services
- Health care and social assistance
- Public administration
Location
- Canada
Legal structures
- All legal structures
Annual revenue
- All revenue ranges
Organisation size
- 3-500 employees
Audience
- All groups
Next Steps
1
Determine your project
2
Validate your eligibility
Activities funded
- Design and development of novel chip-based products
- Design and development of MEMS, photonic, or quantum-based sensor products
- Development for Edge AI or ocean and marine IoT applications
- Commercialization of new semiconductor-based IoT products
Documents Needed
- Completed online Expression of Interest
- Signed Attestation and Signature form
- Optional project diagrams or images
Eligibility
Who is eligible?
- For-profit SMEs in Canada
- Not-for-profit organizations
- Canadian post-secondary institutions and affiliated research institutes
- Indigenous organizations in Canada
Who is not eligible
- Multinational enterprises as Lead or Co-Lead
- Individuals
Eligible expenses
- Direct labour, materials, subcontractors, and other direct project costs
- Eligible overhead within the program limits
- Prototyping-related direct materials, shipping, and brokerage costs
Ineligible Costs and Activities
- Capital equipment purchases
- Experimental or theoretical work with no direct commercial application
- Projects already approved or already in progress
Eligible geographic areas
- Canada
Processing and Agreement
- EOIs are screened for pass/fail eligibility criteria.
- Accepted applicants are invited to submit a full proposal.
- Full proposals are reviewed by an independent expert panel and ranked.
- Final funding approval is made by the CMC Board.
- Successful applicants then enter a Project Agreement.
Additional information
- Successful applicants are invited to submit a full proposal.
- An attestation and signature form must be uploaded with the EOI.
- FABrIC membership is required.
- Projects must end by December 31, 2027.
Contacts
Frequently Asked Questions about the Round 2 Product Development for IoT Device Challenge Program
Here are answers to the most common questions about the Round 2 Product Development for IoT Device Challenge. This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.
What is the Round 2 Product Development for IoT Device Challenge?
Up to $1M in non-repayable funding is available to support IoT product development. The program backs the design, development, and commercialization of advanced sensors and other semiconductor products for Edge AI and ocean and marine IoT applications.
How much funding can be received?
Round 2 Product Development for IoT Device Challenge Funds up to 37% of admissible expenses, capped at $1,000,000 per project.
Who is eligible for the Round 2 Product Development for IoT Device Challenge program?
To be eligible for the Round 2 Product Development for IoT Device Challenge program, you must:
Canadian-incorporated organization
At least one SME Lead or Co-Lead
FABrIC membership required
What expenses are eligible under Round 2 Product Development for IoT Device Challenge?
Design and development of novel chip-based products
Design and development of MEMS, photonic, or quantum-based sensor products
Development for Edge AI or ocean and marine IoT applications
Commercialization of new semiconductor-based IoT products
Who can I contact for more information about the Round 2 Product Development for IoT Device Challenge?
You can contact FABrIC by email at challenges@fabricinnovation.ca.
Where is the Round 2 Product Development for IoT Device Challenge available?
The Round 2 Product Development for IoT Device Challenge program is available across Canada.
Is the Round 2 Product Development for IoT Device Challenge a grant, loan, or tax credit?
Round 2 Product Development for IoT Device Challenge is a Other Support