Financing technology startups is a major issue for economic development and innovation. Quebec and the United Arab Emirates (UAE) are adopting different strategies to support these growth-stage companies. While Quebec relies on incubators such as Centech and funds such as Innovexport, the UAE relies on its sovereign wealth funds such as Mubadala Ventures and ADQ to finance startups on a global scale. This article analyzes these different approaches and their impact on the entrepreneurial ecosystem.
Centech, affiliated with Montreal's École de technologie supérieure (ETS), is one of the world's most successful university incubators. It supports deeptech startups in sectors such as robotics, AI and cybersecurity. Success stories include
- Flare Systems (financial cybersecurity)
- Puzzle Medical (medical devices)
- Ara Robotics (industrial drones)
Since its inception, Centech has helped over 400 startups and generated more than $2.5 billion in economic value. In addition to financial support, Centech offers a mentoring and coaching program to maximize start-ups' chances of success. It also works with private and public investors to facilitate access to financing.
Created in 2016, the Innovexport Fund finances technology startups with international expansion potential. It has helped finance :
- Boréas Technologies (semiconductors, Bromont)
- AEPONYX (optical telecommunications)
- Botpress (conversational AI, raising $20M CAD in 2021)
The impact of these initiatives translates into increased exports and skilled employment in Quebec. One of the main advantages of this fund is that it specifically targets startups with global ambitions, enabling them to grow faster and attract other institutional investors.
Quebec also benefits from the presence of other venture capital funds such as BDC Capital and Real Ventures, which also invest in emerging companies.
The Quebec government offers grants, tax credits and coaching programs. In 2019, over $8.3M was invested to support 34 incubation projects, promoting access to financing and expertise. Quebec also has several tax measures to encourage technology startups, such as the Scientific Research and Experimental Development (SR&ED) tax credit, which enables companies to obtain refunds for their investments in innovation.
The government-funded Startup Québec program also supports start-ups through training, mentoring and targeted financing.
Mubadala Ventures is the venture capital arm of Mubadala Investment Company, which manages over US$280 billion in assets. The fund finances startups worldwide, including :
- Crusoe Energy (AI and cloud infrastructures, USA, financing of US$600M in 2023)
- Moove (Nigerian fintech, US$76m in 2023)
- TruKKer (logistics, joint investment with ADQ)
Mubadala often co-invests with other sovereign wealth funds and private investors, reinforcing its impact on the global start-up ecosystem. Unlike public funds in Quebec, which are often limited by geographical constraints, Mubadala invests internationally, enabling it to capture business opportunities on several continents.
Mubadala-funded startups also benefit from a business network and strategic collaborations with established companies.
ADQ adopts a mixed strategy, financing both local and international startups. Its DisruptAD platform aims to support 1,000 startups by 2025. Its investments include :
- Okadoc (telehealth, UAE)
- Byju's (edtech, India)
- Spinny (automotive market, India)
ADQ attracts start-ups to Abu Dhabi through incentives such as tax exemptions and mentoring programs. One of the key differences between ADQ and its Quebec-based counterparts is that ADQ seeks to attract talent by facilitating their relocation to the UAE through world-class infrastructure and advantageous tax incentives. ADQ also invests in local companies to stimulate domestic innovation and create a sustainable technology ecosystem.
The Quebec model relies on strong government involvement, which offers guarantees to entrepreneurs, but can also slow down funding processes due to bureaucracy and strict eligibility criteria. Government support enables startups to benefit from non-dilutive financing (subsidies, tax credits) and a structured entrepreneurial ecosystem, fostering long-term growth. However, this approach can lead to dependence on public funds and increased administrative complexity for entrepreneurs seeking to raise private capital.
In contrast, the Emirati model is more flexible and rapid, as it is mainly driven by sovereign wealth funds with high liquidity and massive investment capacity. This model attracts start-ups from all over the world, offering them substantial financing and access to a global network of investors and industrial partners. However, this approach also has its limitations: investments are often concentrated on specific strategic sectors (artificial intelligence, fintech, clean energy), which can restrict opportunities for certain startups that don't fit in with the UAE's national priorities.
Quebec and the UAE adopt different but effective financing models. Quebec relies on an integrated local ecosystem, while the UAE uses the power of its sovereign wealth funds to invest on a global scale.
In the future, both models will need to adapt to new trends in innovation. The development of artificial intelligence and clean technologies will influence future investments, and it is likely that Quebec and Emirati funds will strengthen their collaboration with international ecosystems to maximize the impact of their financing.
- Larue Langlois, R. (2023). Centech among the top 10 university business incubators. Direction Informatique.
- Réseau Capital (2025). Innovexport Fund - Description.
- Reuters (2018). Mubadala to launch $400 million European tech fund.
- Business Wire (2022). Botpress Closes 2021 with Strong ... Funding Growth.
- Sapra, B. (2021). Abu Dhabi to support 1,000 startups... with DisruptAD. Wired Middle East.