Bell is already generating AI revenue from leasing data center capacity, selling cybersecurity solutions, and integrating technology systems
In sum – what to know:
CAD1.5B AI revenue by 2028 – Bell plans to more than double its AI business through new data centers, cloud partnerships, and managed AI services.
Six new B.C. data centers – These facilities are potentially expected to deliver 500 MW of capacity, generating CAD150 million in annual EBITDA.
Bell Canada is positioning itself to capture a larger share of the booming AI services market, projecting CAD1.5 billion ($1.07 billion) in AI-related revenue by 2028, more than double current levels, the company’s president and CEO Mirko Bibic said during a presentation at the company’s investor day in Toronto this week.
The company aims to achieve this goal through an expanded network of data centers, strategic partnerships, and enterprise-focused AI solutions.
“AI represents a massive growth opportunity for us. We’re building the infrastructure and partnerships to ensure Bell is a leader in enabling Canada’s AI economy,” Bibic said.
The Canadian company is already generating AI revenue from leasing data center capacity, selling cybersecurity solutions, and integrating technology systems through its Ateko consulting unit. It expects the AI business to generate around CAD700 million in 2025 and grow at a compound annual rate of up to 29% over the next three years.
In May, the telecom operator announced plans to develop six data centers in British Columbia (BC) with a total power capacity of 500 megawatts. Unlike some competitors, the carrier will not buy its own GPUs, preferring to lease space to firms that do. California-based Groq has already leased much of Bell’s Kamloops, B.C. site, while Buzz HPC is deploying Nvidia GPUs in a five-megawatt Manitoba facility.
“AI and data infrastructure are central to Bell’s future growth,” Bibic added. “We have the scale, the network, and the discipline to invest wisely while driving innovation in Canada’s digital ecosystem.”
Earlier this year, Bell Canada and Cohere, a Toronto-based enterprise AI company, had announced a strategic partnership to provide sovereign, end-to-end AI services for government and business clients across Canada.
Under the terms of the agreement, Cohere will offer its enterprise-grade AI capabilities through the Bell AI Fabric, giving Canadian customers access to customized, advanced large language models (LLMs) and applications that meet sovereignty and security standards. The agreement also stipulates that the Canadian operator will become Cohere’s preferred infrastructure provider in Canada, while Cohere becomes Bell’s preferred domestic provider of large language models and agentic AI software.
“The Cohere partnership is a great example of how Bell AI Fabric is at the center of Canada’s tech ecosystem. In August, we became Cohere’s largest commercial customer, embedding its North Agentic AI platform across Bell and offering its LLM to our enterprise customers,” Bibic said.
