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Bill C-22 sparks warnings of major tech investment flight from Canada over privacy and encryption concerns

Market News
25 May 2026
Globe Newswire
View Source
Bearish
pluang ai news

Canada's proposed Bill C-22 faces strong opposition from global tech leaders and privacy advocates who warn it threatens the country's digital economy by undermining data privacy and encryption. Key companies like Meta, Apple, and Signal argue the law could force backdoors in products, risking security and prompting some firms to consider leaving Canada. Industry voices, including Shopify's CEO and major VPN providers, fear the bill could damage Canada's reputation as a trusted tech hub, leading to loss of infrastructure, capital, and talent. The controversy has attracted attention from U.S. lawmakers, highlighting broader concerns about cross-border digital security and investment. If enacted, Bill C-22 could cause a significant tech investment exodus, impacting Canada's future competitiveness in AI, cloud computing, and cybersecurity.

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