This program is currently between intakes. Periodic intakes approximately annually. 2023 intake funded November 2023.
Updated March 2026 · Verified against Next Generation Manufacturing Canada (NGen) guidelines
▲ Growing Reimbursement Est. 2023
Grant Federal Between Intakes

NGen AI for Manufacturing (AI4M) Challenge

Next Generation Manufacturing Canada (NGen)
Maximum Funding
Up to $3,200,000
Periodic intakes — 2025 intake closed. Next dates TBD.
Visit Official Program →
Difficulty
Hard
Payment
Reimbursement
Trend
Growing
First-Timers
Co-Funding
40%
NGen AI for Manufacturing (AI4M) Challenge provides up to Up to $3,200,000 (40% of eligible costs; total project $1.5M-$8M) $50M+ challenge funding Canadian industry consortia to integrate AI/ML solutions in manufacturing operations. The program covers up to 40% of eligible costs. Applications are accepted Periodic intakes — 2025 intake closed. Next dates TBD.. (As of March 2026, verified against Next Generation Manufacturing Canada (NGen) program guidelines)

Eligibility & Details

What this program funds and who can apply

Free

Program Description

Dedicated $50M+ challenge funding Canadian industry consortia to integrate AI/ML solutions in manufacturing operations. Projects must include a manufacturing company, an AI company, and at least one SME. NGen contributes up to 40% of costs (max $3.2M). Distinct from NGen's core Supercluster stream — AI4M has focused intakes for AI-enabled manufacturing transformation.

Eligibility Requirements

  • Canadian for-profit organizations with value-added Canadian presence
  • Must form consortium: minimum one manufacturing + one AI/ML company
  • At least one consortium partner must be SME (<500 employees)
  • Must be NGen members (free at ngen.ca/join)
  • Total project costs $1.5M-$8M
Provinces
All Provinces
Industries
Manufacturing Technology AI Digital
Business Stage
Growth Established Expansion

Quick Assessment

Difficulty
Hard
Competition
High
Est. Hours
200h
First-Timer
Not rated

Funding Details

Amount
Up to $3,200,000 (40% of eligible costs; total project $1.5M-$8M)
Type
Grant
Level
Federal
Co-Funding
Up to 40% of eligible costs
Deadline
Periodic intakes — 2025 intake closed. Next dates TBD.

Program Scorecard

Competition, effort, and approval at a glance

Hybrid
Competition
High
Effort
~200 hours
Approval
Moderate
Accessibility
--/5
Competition
--/5
Approval Rate
--%

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What You Need to Get Approved
Everything reviewers look for — so you apply with confidence, not guesswork

How to Win

Insider tips, common pitfalls, and what successful applicants look like

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Insider Tip

Start consortium building 3-6 months before intake opens. Join NGen and attend networking events to find partners. Projects with identified AI use cases (predictive maintenance, quality inspection) outperform ideation. Financial Due Diligence is the biggest hurdle — have audited financials ready.

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Success Profile

Mid-size manufacturer (50-500 employees) with specific AI problem, partnered with Canadian AI firm plus SME. Strong financials to fund 60% of $2-6M project.

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Evaluation Criteria

Applications scored by up to 5 independent external expert assessors across 10 equally-weighted questions (10 marks each, 100 total). Two gateway requirements: project must be in scope (AI/ML in manufacturing) and receive positive recommendation from independent assessors. Key evaluation areas include technical innovation merit, consortium strength and complementarity, commercial viability, SME benefit, and Canadian economic impact.

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Application Steps

1 Register as NGen Member All consortium partners must register as NGen members (free) at ngen.ca/join before submitting any application.
2 Build Consortium Assemble a consortium of at least one manufacturing company and one AI/ML company, with at least one SME (<500 employees). Start 3-6 months before intake opens.
3 Attend Information Webinar Attend the mandatory information webinar (May 8, 2025 for the latest intake) to understand requirements, financial guide, and IP obligations.
+4 more steps

Required Documents 6

NGen membership for all partners
EOI via NGen portal
Full application with IP tables
Financial Due Diligence docs
Consortium agreement
Project plan with milestones

Eligible Expenses 8

  • Salaries, wages, and employer-paid benefits for Canadian personnel working on project
  • Subcontracting and consultancy fees (capped at 40% of total eligible costs)
  • Equipment purchase, rental, operation, and maintenance (capped at 45% of total eligible costs)
  • Materials and supplies consumed during the project
  • Software subscriptions and service fees
  • Travel expenses aligned with Government of Canada travel guidelines
  • Publication costs for results dissemination
  • Patent protection costs for SME partners

Ineligible Expenses 6

  • Routine administration and general operating costs
  • Honoraria, gifts, donations, entertainment expenses, and alcoholic beverages
  • Salaries of Board of Directors members
  • Full-scale production activities or production subsidization
  • Capital investment unrelated to AI-enabled manufacturing capabilities
  • Costs already covered by funding from other government sources

Intake Periods

Periodic intakes approximately annually. 2023 intake funded November 2023. 2025 intake: EOI deadline June 17, 2025; full application July 17, 2025. No 2026 intake announced as of March 2026.

Deadline Notes

2025 intake closed July 17, 2025. No 2026 intake announced. Contact [email protected] for future intake notifications. Join NGen for free first.

Open Application Portal →

Ineligible Organizations

  • Organizations without a value-added Canadian presence (sales office alone insufficient)
  • Non-NGen members
  • Solo applicants without consortium partners
  • Organizations unable to pass Financial Due Diligence

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Compatible Programs

SR&ED Tax Credits NSERC Alliance Grants NRC-IRAP Provincial Innovation Programs
Combined Funding Potential See your total funding potential

Clawback Risk

Medium Risk

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How AI4M Compares

Side-by-side with similar programs

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