Collective Arctic Digital Capability: A Canada–EU Framework
By Angela Acic and Trevor Peeters
Executive Summary
Canada’s Arctic sovereignty depends on digital infrastructure governed outside its jurisdiction. Critical communications rely on foreign-owned satellite networks, exposing Canadian data and essential services to external legal regimes and geopolitical risk. The European Union faces similar vulnerabilities, creating a shared strategic challenge. Rather than pursuing separate solutions, Canada and the EU can leverage existing frameworks—including the Digital Partnership Council, the Security and Defence Partnership, SAFE, and CETA—to jointly invest in secure communications infrastructure, satellite capabilities, research and development, and regulatory coordination. By treating digital infrastructure as a collective security capability, both partners can strengthen Arctic resilience, reduce dependence on external actors, and enhance their ability to respond to emerging geopolitical threats.
Introduction
What exactly does Canadian sovereignty mean when a medical alert sent from an Indigenous community in Nunavut transits through a US ground station before reaching its destined Canadian community? In the digital age, all communications rely on transnational digital infrastructure subject to foreign legal regimes, exposing both Canada and the EU to foreign surveillance, political coercion, service disruptions, and the weaponisation of critical digital infrastructure. Dependence on American digital infrastructure creates a strategic vulnerability: no state can claim full sovereignty in the digital age if one cannot control its data.
These strategic dependencies have become increasingly apparent as the Arctic emerges as a strategic theatre of geopolitical competition. While dependence on American digital infrastructure has historically been tolerated by both Canada and the EU, this dependency is becoming increasingly difficult to sustain. Russia’s militarisation of the High North and China’s growing interest in Arctic infrastructure demonstrate that the Arctic can no longer be treated as a stable environment. Simultaneously, security dynamics are shifting within NATO, originating from the erratic posturing of American President Donald Trump and his repeated calls for greater control over Greenland. Demanding as well that Canada strengthen its Arctic defence posture. This behaviour highlights the growing uncertainty surrounding Arctic governance and security.
In this increasingly contested environment, reliance on foreign-controlled digital infrastructure represents a strategic vulnerability. The widespread weaponisation of communication infrastructure ongoing through the Russo-Ukrainian War, alongside the disruption of Venezuelan digital infrastructure during the 2026 US operation targeting President Nicolás Maduro’s government, illustrates that communications networks can become instruments of geopolitical coercion and strategic leverage. Rather than pursuing parallel solutions, Canada and the EU are better positioned to address these challenges together. Existing frameworks such as the Canadian-European Union Digital Partnership Council already provide mechanisms for joint investment, industrial cooperation, research and development, and regulatory coordination of critical digital infrastructure. Collectively, these initiatives can transform digital infrastructure from a source of strategic vulnerability into an instrument of deterrence by increasing the resilience, redundancy, and interoperability of allied communications networks.
Nunavut: A Case Study in Digital Dependence
Nunavut concentrates these vulnerabilities into a poignant case study. Its remote yet increasingly strategic geography makes satellite connectivity essential as traditional telecommunication alternatives remain limited for many of these predominantly Indigenous communities. Starlink has captured this market and has expanded rapidly across the territory, becoming the primary connectivity provider for northern Indigenous communities and Canadians. This is reflected by Canada ranking among the world’s highest users of Starlink in 2025. While this expansion has improved connectivity in underserved regions, it also creates strategic vulnerabilities. Starlink’s owner, Elon Musk, has demonstrated how privately controlled communications infrastructure can become entangled with geopolitical decision-making, most notably through the company’s interventions in the Russo-Ukrainian War. Furthermore, reliance on Starlink places Nunavut’s communications within scope of American intelligence authorities through FISA Section 702, permitting the collection of electronic communications of non‑U.S. persons without a warrant. The growing influence of private technology companies over critical infrastructure presents a broader sovereignty challenge, particularly amid increasing uncertainty surrounding US Arctic policy and the role of non-state actors in geopolitical affairs.
Beyond the security implications of foreign-controlled infrastructure, Nunavut’s connectivity challenges reveal both a market failure and a broader governance gap. Private interests have not accounted for the national security, sovereignty, and governance risks created by dependence on externally controlled infrastructure. This in turn represents a failure of governance. Canada has not established sufficient requirements or incentives for telecommunications providers to extend reliable, secure connectivity to northern communities or to ensure that critical infrastructure serving the Arctic aligns with national security objectives. This failure largely stems from Canadian federalism and the constitutional division of powers, as responsibility for digital connectivity is interprovincial and therefore mandated to the federal government; however, provinces and territories retain significant responsibilities for service delivery, consumer protection, and privacy-related issues. This division creates a regulatory gap in which no single level of government is fully responsible for ensuring that northern communities receive connectivity that meets both public service needs and national security objectives. The result is a communications environment in which foreign providers have filled gaps left by domestic infrastructure investment, creating dependence on externally controlled networks. Consequently, data created in Canada and destined for another point in Canada can routinely leave the country before returning. For residents of Nunavut, this is not an occasional anomaly, but the everyday reality of staying connected in the federation.
This governance gap has consequences beyond service delivery and economic development; in the Arctic, digital connectivity is increasingly a component of national security. Arctic communications underpin search and rescue operations, NORAD surveillance, environmental monitoring, and critical infrastructure management across the region. An outage, interference event, or politically motivated disruption could isolate communities, degrade Canadian operational capacity, and compromise situational awareness in a strategically sensitive domain.
Building Collective Arctic Digital Capability
The vulnerabilities exposed in the Nunavut case demonstrate that Arctic security increasingly depends on resilient digital infrastructure and shared technological capabilities. Ensuring Arctic sovereignty therefore requires more than territorial presence; it requires the ability to observe, communicate, and coordinate across an increasingly contested region. No single state possesses all the infrastructure, financial resources, or technological capacity required to secure the Arctic digital environment alone.
Canada and the EU possess complementary capabilities that can strengthen collective Arctic resilience. Canada’s RADARSAT Constellation Mission (RCM) already provides advanced maritime domain awareness, environmental monitoring, and disaster response capabilities across the Arctic. If integrated with European satellite systems such as Copernicus and IRIS², these capabilities become significantly more powerful, enabling coordinated observation, joint data sharing, and interoperable monitoring of the region. This cooperation would reduce reliance on unreliable external providers while strengthening allied capacity to respond to emerging threats. This, in turn, could also positively contribute to future NATO preparedness
Existing Canada–EU frameworks provide the foundation to transform this shared capability into sustained cooperation. Canada’s 2026 entry into the EU’s Security Action for Europe (SAFE) initiative provides access to up to €150 billion in competitively priced loans for defence capability investment. This aligns Canadian and EU defence priorities and creates new export opportunities for Canadian defence firms. The 2025 EU–Canada Security and Defence Partnership (SDP) formalised cooperation on defence planning, intelligence exchange, and emerging technologies. In Chapters 15 and 16 of the Canada-European Union Comprehensive Economic and Trade Agreement (CETA), regulatory pathways are established for joint standards development, shared cybersecurity practices, and the integration of cross‑border digital services.
Beyond improving connectivity and interoperability, collective digital capability strengthens deterrence. A diversified Canada–EU digital ecosystem reduces the ability of any single state, corporation, or legal regime to exert political leverage over Arctic communications. By distributing critical infrastructure across trusted partners, Canada and the European Union increase the resilience of essential services while raising the costs of coercion, disruption, or interference. In the digital age, deterrence depends not only on military capability, but also on the resilience and redundancy of the networks that underpin national security.
Recommendations
1. Establish a Canada–EU Arctic Satellite Connectivity Partnership
Canada and the EU should develop an integrated satellite communications framework linking Canadian capabilities, including RADARSAT and Telesat’s low-Earth-orbit (LEO) systems, with European initiatives such as Copernicus and IRIS². Pooling resources would distribute development costs, expand northern coverage, and create a more resilient and interoperable communications architecture for Arctic communities, defence operations, and environmental monitoring.
2. Expand Trusted Telecommunications Competition in Canada
Canada should create a regulatory environment that allows trusted European telecommunications companies to operate more easily within the Canadian market. Greater competition would reduce reliance on a small number of dominant providers, incentivise investment in underserved northern regions, and encourage the development of resilient connectivity solutions for Indigenous communities. Expanding trusted foreign participation would complement domestic investment while reducing dependence on any single external provider.
3. Complete Ratification of CETA
Canada and the European Union should prioritise full ratification of CETA. Although provisionally applied, CETA has only been ratified by 17 EU member states, limiting the agreement’s full potential. Complete ratification would provide greater legal certainty, expand opportunities for cross-border procurement and investment, and establish a stronger foundation for long-term industrial, technological, and digital infrastructure cooperation.
4. Create a Joint Canada–EU Research and Development Fund for Arctic Technologies
Emerging technologies—including inter-satellite laser communications, secure LEO networks, and space-based edge computing—require sustained investment beyond the capacity of individual states. Canada and the EU should pool funding through mechanisms such as the EU’s Security Action for Europe (SAFE) initiative, CETA procurement mechanisms, and European Investment Bank programs to support collaborative research and development. Joint investment would create economies of scale, strengthen allied technological competitiveness, and accelerate innovation in northern connectivity.
5. Develop Shared Regulatory and Security Standards for Digital Infrastructure
Canada and the EU should establish coordinated standards for satellite communications, cybersecurity, and emerging technologies to strengthen the resilience of critical infrastructure. Drawing on Canada’s Digital Sovereignty Framework and European data protection principles, including lessons from Schrems II, both partners should create joint assessment mechanisms for communications infrastructure procurement to mitigate risks from foreign interference. As LEO satellite systems become increasingly essential to civilian and defence operations, coordinated standards will be necessary to address cybersecurity threats, orbital congestion, and geopolitical competition.