The Toronto-Waterloo Corridor is one of the primary drivers of Canada’s economy, with a GDP of $476B+. It is a 65mi/105km economic corridor linking Toronto and Waterloo by rail and road, with a population of more than 9.4M people. That’s larger than the Bay Area.
Home to 373,600+ tech workers and 26,000+ tech companies, the Corridor is the 3rd largest tech cluster in North America. The area is home to some of Canada’s fastest-growing tech businesses, the top two engineering schools in the country and multinationals like Google, Apple, SAP and OpenText.
Here are five things you need to know about the Toronto-Waterloo Corridor:
1. One of the world’s largest tech clusters
The Toronto-Waterloo Corridor is the 3rd largest tech cluster in North America. It’s home to more than 26,000 tech companies, including 5,200+ startups and more than 373,600 employees in high-tech industries.
With more than 10.7% of the total workforce employed in tech, the Toronto-Waterloo Corridor also has a similar talent density to Silicon Valley and a much greater density than New York or Boston.
It’s not just about size – the Toronto-Waterloo Corridor stands out for quality, too. Startup Genome has recognized the Toronto-Waterloo Corridor as the #1 startup ecosystem, cleantech ecosystem and fintech ecosystem in Canada.
2. Talent for growing businesses
Speaking of workforce, the Toronto-Waterloo Corridor has an exceptional talent pipeline, with more than 662k students across 16 post-secondary institutions.
Within the Corridor we have Canada’s largest engineering school, two of Canada’s top three computer science programs, a half-dozen business schools (including three of the top ten in Canada) and the largest co-operative education program in the world.
Experienced workforce growth is important because it highlights a region’s ability to attract talent. In CBRE’s most recent Scoring Tech Talent report, Toronto’s tech workforce was ranked #3 among large tech talent markets (50k+ tech workers), while Waterloo was ranked #1 among small tech talent markets and #7 overall.
The report also reveals that Waterloo is the 2nd fastest growing tech talent market in North America, while Toronto had the 2nd most tech jobs added in North America from 2021-2024. Additionally, CBRE highlights Waterloo as offering the best value in terms of cost and quality for tech talent.
Our talent pipeline and ability to attract experienced talent from around the world are the reasons why major tech companies like Google, EPAM, Meta IT, OVHcloud, Siemens and Bosch have chosen to locate here.
3. A perfect location for B2C and B2B
Since the Toronto-Waterloo Corridor is such a tight-knit region (just 105km/65mi from Waterloo to Toronto), the whole area shares the strategic location benefits that we often herald in Waterloo.
For example, the Corridor is almost directly in the middle of America’s Eastern Seaboard and Midwest, which means equally convenient connections to New York City, Boston and Chicago, as well as Detroit, Columbus and Pittsburgh.
For B2C companies, that means access to 194+ million consumers within a one-day drive.
Waterloo is centrally located, with one-day access to 194M customers in the US and Canada.
Right in the middle of the Corridor is Toronto Pearson International Airport – the largest airport in Canada and the second busiest in North America, serving more than 40M passengers annually to 180+ global destinations.
It’s also one of four international airports within the Corridor, including the Region of Waterloo International Airport, which serves nearly half a million passengers a year.
Last but not least, the Corridor is connected by Canada’s largest superhighway, Highway 401 and a regional rail network.
4. Diversity that makes us all stronger
Toronto is well-known as one of the most diverse and international cities on the planet and Canada is one of the world’s most welcoming countries, with one of the world’s best tech-related work permit/visa programs. Toronto’s immigration concentration is 46.6%, and Waterloo’s is 25.8%.
Our universities have also put an emphasis on international talent. For example, approximately 22% of the University of Waterloo’s undergraduate students, and 40% of their graduate students, are from outside of Canada. You’ll find a similar story at many of the Corridor’s 16 post-secondary institutions.
5. Opportunities for businesses of all shapes and sizes
Here’s the big one for businesses. The biggest differentiator between the Toronto-Waterloo Corridor and similar ecosystems across North America is our business diversity.
Toronto is a global-scale finance and business hub, with access to capital, global markets and major corporate headquarters. In Waterloo, you’ll find a world-class tech hub, Canada’s largest robotics and automation cluster and a substantial manufacturing community that includes Toyota’s largest Canadian plant. With our deep pool of tech and engineering talent, applied research capabilities and lower operating costs, Waterloo complements Toronto.
Together, the Toronto-Waterloo Corridor is part of Canada’s largest tech cluster and Canada’s largest manufacturing and automotive corridors. We often talk about the Corridor’s tech prowess, but its manufacturing capabilities are incredibly strong too, with 358,768+ manufacturing workers.
The diversity of the Toronto-Waterloo Corridor’s ecosystem is truly unrivalled in North America. With a mix of industries, businesses and cost options, it’s the ideal place for companies looking to land and grow.
Key Takeaways
- The Toronto-Waterloo Corridor is a 65mi/105km economic corridor linking Toronto and Waterloo
- The Corridor is a top tech cluster, with 26,000+ tech companies and 373,600+ tech workers
- Canada’s top two engineering schools are both located in the Toronto-Waterloo Corridor
- Toronto is a global finance hub with a large population size and access to major markets via air, rail and road, while Waterloo is a strong tech and manufacturing region with top talent, R&D capabilities and lower operating costs
Get in touch with our team today.