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The federal government is set to announce $40-million in funding to BlackBerry Ltd. in Ottawa Friday that will help boost its smart-vehicle software business.

A source familiar with the situation said the money, through the government’s $2.4-billion Strategic Innovation Fund, will go toward a $300-million-plus investment by the company. The investment is expected to create more than 800 new jobs over the next decade. The funding will help the company enhance its automated driver-assistance system, improve its integration with connected car platforms from Apple Inc. and Alphabet Inc.'s Google, and help build an automated-vehicle concept and test track in Ottawa, among other initiatives.

Prime Minister Justin Trudeau, who has been weathering fallout from the resignation of cabinet minister Jody Wilson-Raybould over the government’s handling of the SNC-Lavalin file, will be on hand Friday morning to make the announcement at the company’s operations in Kanata.

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The smartphone pioneer, based in Waterloo, Ont., has spent several years transforming into a provider of software security under chief executive John Chen. The company recently announced its largest acquisition ever when it agreed in November to buy California artificial-intelligence-enabled cybersecurity firm Cylance Inc. for US$1.4-billion

BlackBerry’s QNX-brand smart vehicle software is used by more than 120 million vehicles worldwide.

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