Montreal, Toronto and Ottawa-Gatineau are the most research-intensive communities in Canada, according to recently released data. The findings are based on 11 key indicators for corporate R&D and university research and place Montreal in the top spot, based on its large number of R&D-performing firms and the combined research income attracted by its five universities.

Toronto ran a close second on the basis of its strength in several business and higher education indicators, while Ottawa grabbed third spot due to its powerful high-tech sector. The communities' data were compiled by Research Infosource Inc, a subsidiary of The Impact Group and a sister company to RE$EARCH MONEY.

The report is based on Statistics Canada data, circa 2002, and augmented by original data. It marks the first time StatsCan has released data at the community level

"Innovation happens at the local level so what happens on the ground is vitally important," says Ron Freedman, Research Infosource CEO and co-publisher of RE$EARCH MONEY. "Many cities are focusing on turning knowledge into companies, jobs and exports ... It's no longer steel mills that cities are trying to attract but knowledge resources."

The Top Research Communities report also ranks Canadian cities according to size, and Quebec municipalities are top-ranked in each category. Montreal rules the large city list (900,000 or more), Quebec City is tops for mid-sized jurisdictions (300,000 to 900,000) and Sherbrooke ranks highest for smaller cities (less than 300,000).

"This appears to be the residue of Quebec's innovation strategy in the 1990s. They've done well on corporate R&D as well as higher education and they've had the tools - innovation financing mechanisms and funding - to support companies," says Freedman.

But Freedman says that the recent deterioration of Quebec's innovation support structures could make it difficult for the province's cities to continue competing as effectively as they have in the past. He notes that many public financing vehicles have been dismantled or privatized, while new data on university research income show many Quebec universities experiencing significant declines (see story on page 1).

In the top 10, four cities are in Ontario, three are in Quebec, two are in British Columbia and one is from Alberta. Of the Top, 20, 15 achieve a score of 50 or better.

Freedman says shifts could occur as cities rev up their economic development engines and new data become available.

"The value will come over time as people begin to see trends and adjust their strategies accordingly," he says.

FMI: www.researchinfosource.com.

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