Canadian organizations are entering 2026 with high confidence in their own performance despite lingering economic uncertainty, according to new research from the IBM Institute for Business Value that points to artificial intelligence as a central driver of strategy and operations.
The findings, released recently, outline five trends expected to shape how Canadian companies compete this year, while a separate IBM study looks ahead to a broader shift toward AI-first operating models by the end of the decade.
Confidence tied to AI investment
The research shows a sharp contrast between views of the broader economy and expectations for individual organizations. While 42 per cent of Canadian executives surveyed said they are optimistic about the global economy, 84 per cent reported confidence in their organization’s performance in 2026. The same proportion said ongoing economic and geopolitical volatility could create new business opportunities.
The study links that confidence to long-term investments in artificial intelligence, which executives increasingly view as central to growth, decision-making and competitiveness.
“Canadian organizations are entering 2026 with confidence – not because the economy is predictable, but because leaders are betting on AI as a long-term growth engine. The priority now is to move beyond experimentation and embed AI into core decision-making, operations and client engagement in a way that strengthens trust and transparency,” said Rob Wilmot, general manager of IBM Consulting Canada.
Rob Wilmot
AI sovereignty and infrastructure
One of the five trends identified is a growing emphasis on AI sovereignty. According to the report, 92 per cent of Canadian executives said AI sovereignty must be built into their business strategy in 2026.
At a global level, half of executives surveyed expressed concern about over-dependence on computing resources concentrated in certain regions, a finding the report says reinforces the importance of secure and sovereign AI foundations for Canadian organizations.
Speed, autonomy and real-time decisions
The research also points to accelerating expectations around speed and autonomy. Seventy-two per cent of Canadian executives cautioned that organizations unable to operate in real time risk falling behind competitors.
The majority of respondents said they are already using so-called agentic AI to improve the speed and quality of decisions. According to the study, 86 per cent are currently using such tools, and 68 per cent expect AI agents to be taking independent action within their organizations by the end of 2026.
Workforce attitudes toward AI
While executives anticipate deeper integration of AI, the study suggests a more nuanced picture among employees. Fifty-seven per cent of Canadian employees surveyed said AI is transforming corporate culture, and 54 per cent said they are comfortable collaborating with AI systems.
However, only 36 per cent of employees said they would be willing to be managed by AI, below the reported global average of 48 per cent. The findings suggest that while acceptance of AI as a tool is growing, resistance remains when it comes to AI-led management.
Trust and transparency
Trust emerged as another central theme. The study found that 82 per cent of Canadian consumers said they would trust a brand less if it intentionally concealed its use of AI within organizations.
At the same time, 96 per cent of Canadian executives said they believe consumer trust in their AI will be critical to the success of new products and services, underscoring the role of transparency as AI becomes more embedded in business operations.
“What we are seeing this year is the early arc of a broader shift. The choices leaders make in 2026 will shape how competitive they are through the end of the decade,” Wilmot said.
Looking toward 2030
The Canadian trends identified for 2026 align with findings from a separate global IBM Institute for Business Value study examining enterprise models in 2030. That research signals what IBM describes as a decisive shift toward AI-first operating models by the end of the decade.
According to the study, 75 per cent of Canadian C-suite leaders expect AI to contribute significantly to revenue by 2030. AI investment is projected to increase by 147 per cent over the next four years, based on executive expectations captured in the research.
The outlook also includes expectations of substantial workplace change. Seventy-six per cent of Canadian leaders surveyed said mindset will matter more than skills in the future, while 59 per cent expect many current employee skills to become obsolete by 2030.
Mario Toneguzzi
Mario Toneguzzi is Managing Editor of Canada’s Entrepreneur. He has more than 40 years of experience as a daily newspaper writer, columnist, and editor. He was named in 2021 and 2024 as one of the top business journalists in the world by PR News. He was also named by RETHINK to its global list of Top Retail Experts 2024, 2025 and 2026.
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