Internet networking giant Cisco Systems is eyeing a new business office in Alberta in the wake of establishing a permanent chair in network engineering technology at the Southern Alberta Institute of Technology and landing a key role in helping build the province’s Supernet.

“This isn’t public yet, but we expect them to move at least one business unit here,” Alberta Innovation and Science Minister Lorne Taylor told Business Edge. “We are in negotiations with them right now with them on that.”

Pierre-Paul Allard, managing director of Cisco Systems Canada, the Canadian operation of San Jose-based Cisco Systems Inc., would not comment directly on the minister’s remarks but said the company is looking at several options in what he called Alberta’s “high-tech hotbed.”

“Specifically in Calgary, there’s interest in moving back Calgarians that have moved to Silicon Valley and developed a lot of the technology we work on,” he said.

Chris Wood, Business Edge
Lyle Oberg, Pierre-Paul Allard and SAIT president Irene Lewis chat with tech students.

“Because of the power of Supernet, and because of the power of connectivity that it drives back into the United States, we can put people anywhere and it’s as if they were in your home office. And that’s creating opportunities for us.”

Cisco is part of the consortium of companies led by Bell Intrigna and Calgary-based Axia NetMedia building the $300-million Supernet, which will wire more than 400 Alberta communities in a high-speed broadband network within three years.

Last fall, Cisco also announced a $1-million deal to set up a new master’s degree program in Internet technology at the University of Alberta.

“We’re going to create an environment within Alberta and specifically Calgary where we can easily move business units and development centres,” said Allard.

“Calgary’s a prime area. There are really a lot of good, skilled people here.”

Cisco Systems Canada has more than 500 employees in 14 offices across Canada, including its downtown Calgary office.

SAIT officials announced the Cisco Chair in Network Engineering Technology at a ceremony Thursday attended by dozens of provincial officials, company representatives and students.

The $2-million chair endowment is the first for a post-secondary technical institute in Canada, noted SAIT president and CEO Irene Lewis, and will help establish SAIT as a leader in network engineering.

“We’re quite clear about where we’re going, very clear about positioning this institution for a place in the sun, a place for meeting the needs of the marketplace,” she said following the signing ceremony.

Learning Minister Lyle Oberg praised Cisco for supporting learning initiatives. “That’s the kind of company the Alberta government wants partnerships with,” he said.

SAIT is immersed in a $166-million expansion and renovation of its buildings, curriculum development and electronic infrastructure.

Last November, SAIT signed a deal with the Canadian arm of Microsoft, the world’s largest software company, to set up a new Centre of Excellence, featuring an e-business professional program.

A search will begin immediately to recruit a candidate for the new chair, who as SAIT describes will be a world leader in the ICT sector and networking field and provide a link to Cisco while championing the 84-year-old institute’s strategic goal — to be recognized nationally as Canada’s premier technical institute by the year 2010.

“They (the candidate) will have to have the expertise that will be able to be passed on to a learning audience,” Lewis noted.

SAIT network engineering student Katrina Lo, 26, said Cisco’s involvement will help boost student confidence in the program, which has 32 students in its first year of operation. “They’ll probably be there to recruit when we do graduate. It’s a great opportunity,” said Lo.

Allard said Cisco is also planning to expand its Networking Academy Program, which now operates in 61 high schools, technical institutes and colleges in the four western Canadian provinces.

“There are seven network academies in Calgary, and we’re trying to grow that number to at least one per school board across Calgary,” he added.

Lord Beaverbrook and Ernest Manning high schools both offer the program, which teaches students how to design, build and maintain computer networks, but there are no Cisco programs currently in operation at the separate board.

Allard said the Alberta government’s willingness to work and collaborate with business in helping to alleviate the shortage of skilled ICT workers is an attractive incentive for Cisco.

Provincial officials predict there will be a need for 140,000 skilled information technology workers in this province by the year 2010.

“If you bring a presence, you attract others and you create an aura,” said Allard. “Most of the development centres, including San Jose, were built that way.”