The Communications Security Establishment (CSE), Canada's cyber intelligence agency will spend up to 1.85 billion Canadian dollars ($1.3 billion) on the construction of a new data center in Ottawa, The Globe and Mail reported on Friday citing multiple sources.

The Government of Canada has posted an advance notice directed at the private sector where it informs of its intent to post a contracting bid for a new data center in the National Capital Region, on the side of Ottawa, in early 2027, the report said.

The contract will be for the construction of a 60-megawatt facility, making it one of the country's largest, the report said. CSE has already debated a new data center for some time, notably as it seeks to replace the one it operates, designed 15 years ago, it added.

"CSE operates highly specialized systems that support Canada's national security, foreign intelligence, cyber defence and secure Government of Canada operations. These activities require dedicated infrastructure designed to meet unique security, resilience and performance requirements," CSE spokesperson Janny Bender Asselin said as quoted in the report.

While plans for the facility exist, the Treasury Board of Canada has yet to give the project its approval. Moreover, the exact location of the data center remains unknown, the report noted.

In June, Canadian Prime Minister Mark Carney said during an artificial intelligence announcement, that the country's public and national security data would be stored within Canada's borders.

@Sputnik