Secure Your Canadian Business (and Government Contracts)
The digital landscape in Canada is rapidly evolving, bringing with it a surge in sophisticated cyber threats. This evolution has triggered a wave of new cybersecurity requirements, including the Canadian Program for Cyber Security Certification (CPCSC) and the increasingly relevant Cybersecurity Maturity Model Certification (CMMC).
Navigating this complex web of regulations can be daunting, especially for businesses seeking to secure government contracts or expand into the US market. FirstCall understands these challenges. Our goal is to provide clear, actionable guidance, empowering your business to confidently meet these requirements and fortify your cybersecurity posture.
The Critical Need for Cybersecurity Compliance in Canada
F12.net reports in their Cyber Security Trends Report 2025 that 72% of Canadian SMBs reported experiencing a cyber attack in the past year. The Canadian government recognizes the importance of cybersecurity for national security, and influenced heavily by CMMC, are soon going to be implementing cyber security requirements for suppliers that bid or work on Government of Canada defence contracts. So what do businesses need to know about these new requirements, and how do they compare to CMMC?
CPCSC: Understanding Canada’s Cybersecurity Certification Program
The Canadian Program for Cyber Security Certification (CPCSC) stands as a pivotal initiative in bolstering the nation’s cybersecurity defenses. As organizations across Canada increasingly navigate a landscape rife with cyber threats, CPCSC offers a structured framework for demonstrating robust security practices and building trust.
What is CPCSC and its objectives?
CPCSC is a certification program designed to enhance the cybersecurity posture of Canadian organizations, primarily those involved in government contracts or handling Controlled Information (CI). CI includes Protected A, Protected B, and controlled goods information that is not classified.
Who needs CPCSC certification and why?
Organizations that work with the Canadian government, particularly those involved in sensitive projects or handling CI, are prime candidates for CPCSC certification. Additionally, any business seeking to demonstrate its commitment to robust cybersecurity practices and gain a competitive edge in the Canadian marketplace can benefit from this certification.
Key requirements and compliance levels within CPCSC.
CPCSC outlines specific cybersecurity requirements based on the sensitivity of the information handled and the criticality of the organization’s operations. These requirements are divided into three different compliance levels, with each level demanding increasing rigor in security controls and practices.
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Level 1 Requires an Annual Cyber Security Self-Assessment
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Level 2 Requires an external Cyber Security Assessment led by an accredited certification body
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Level 3 Requires Cyber Security Assessments conducted by the National Defence
Organizations at Levels 2 and 3 will be required to implement the controls found in NIST 800-171 revision 3. This standard has 422 requirements compared to the 320 requirements found in revision 2 which is required by CMMC.
The CPCSC certification process and timelines.
The CPCSC certification process involves a thorough assessment of an organization’s cybersecurity practices against the program’s requirements. Timelines for certification can vary depending on the organization’s current security posture and the chosen compliance level, and typically require an external audit. CPCSC is expected to start becoming a requirement in contracts in the fall of 2025.
Benefits of CPCSC certification for Canadian businesses.
Achieving CPCSC certification demonstrates a commitment to cybersecurity best practices, enhancing an organization’s reputation and building trust with clients and partners. This certification can also provide a competitive advantage when bidding on government contracts and open doors to new business opportunities within the Canadian market.
CMMC: Navigating US Cybersecurity Standards for Canadian Businesses
As Canadian businesses increasingly engage with the US defense industrial base, understanding and complying with the Cybersecurity Maturity Model Certification (CMMC) becomes crucial.
What is CMMC and its origin (US Department of Defense).
CMMC is a US Department of Defense (DoD) certification program designed to ensure that contractors and subcontractors within the Defense Industrial Base (DIB) have adequate cybersecurity measures in place to protect sensitive unclassified information (Controlled Unclassified Information or CUI). Its origin stems from the DoD’s recognition of the increasing threat of cyberattacks targeting the DIB, aiming to safeguard national security.
CMMC’s maturity levels and their implications for Canadian businesses.
CMMC outlines three different maturity levels, ranging from basic cyber hygiene to advanced security practices, with each level requiring progressively more stringent security controls. For Canadian businesses seeking to work with the US DoD, understanding these levels is critical, as the required level will depend on the sensitivity of the information they handle and the specific contract requirements.
Just like CPCSC, CMMC has the three following levels:
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Level 1 Requires an Annual Cyber Security Self-Assessment
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Level 2 Requires an external Cyber Security Assessment led by a C3PAO
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Level 3 Requires Cyber Security Assessments by the Department of Defense
Who needs CMMC certification, especially those with US government contracts?
Any Canadian business that intends to bid on or perform contracts with the US DoD that involve handling CUI will be required to achieve the appropriate CMMC certification level. This includes both prime contractors and subcontractors at all tiers of the supply chain.
Key requirements and compliance differences from CPCSC.
CMMC’s requirements are specifically tailored to the protection of CUI, emphasizing a maturity-based approach to cybersecurity. While CPCSC focuses on establishing a baseline for Canadian organizations, CMMC is more prescriptive and aligned with US federal cybersecurity standards, resulting in distinct compliance differences.
The main difference between the two programs is in which standard each is based off of. CPCSC is based off NIST 800-171 revision 3, while CMMC is based off of NIST 800-171 revision 2. Revision 3 has approximately 32% more requirements than revision 2.
The CMMC certification process and its impact on Canadian businesses.
The CMMC certification process involves an independent assessment conducted by a Certified Third-Party Assessment Organization (C3PAO) to verify an organization’s compliance with the required maturity level. This process can significantly impact Canadian businesses by requiring them to invest in cybersecurity upgrades and undergo rigorous audits to maintain their eligibility for US government contracts.
CPCSC vs. CMMC: A Comprehensive Comparison and Strategic Guidance
Understanding the nuances between Canada’s CPCSC and the US’s CMMC is crucial for businesses navigating the complexities of cybersecurity compliance, especially when operating across borders. This section provides a detailed comparison of these standards, explores their relevance in various business scenarios, and outlines how leveraging both certifications can enhance security and market access.
Side-by-side analysis of key differences and similarities.
Scope and applicability.
CPCSC primarily targets Canadian organizations, especially those working with the Canadian government and Controlled Information. CMMC, on the other hand, is specifically designed for US Department of Defense contractors and subcontractors, focusing on the protection of Controlled Unclassified Information (CUI).
Compliance Levels and Requirements
Both programs have 3 different levels, which are essentially the same across both programs. However, there is a difference in the number of requirements as CPCSC is based off of revision 3, vs CMMC being based off of revision 2.
Certification processes.
CMMC requires organizations at levels 2 and 3 to be recertified every 3 years by a Certified Third Party Assessment Organization (C3PAO). CPCSC on the other hand will require organizations to be certified by a Third-party Assessment Organizations (3PAO) that is accredited by the Standards Council of Canada (SCC).
Cost and timeline considerations.
Total costs for compliance with either program normally add up to over $100k for most businesses. This includes the cost preparing, implementing new tools, and the cost of the audit itself. Organizations also need to get recertified every 3 years under CMMC. CPCSC will likely end up costing more to prepare as it is based off of revision 3, and requires 32% more controls than CMMC. Both programs are expected to start being a requirement in contracts later this year and slowly ramp up into more contracts over a 3 year period.
Which certification is most relevant for businesses operating in both markets?
There have been talks about reciprocity between CMMC and CPCSC, however there is nothing concrete at this time. So, organizations that work in both markets need to be prepared for both certification requirements later this year. Which certification to prepare first for likely depends on what percentage of your business is US government vs Canadian government and what are your primes or contracting officers telling you.
The one thing that organizations should be aware of is data residency requirements. If you handle US export controlled information like ITAR, then that data needs to stay within the continental United States. For organizations that handle Controlled Goods Canadian data, they need to make sure that data stays within Canada. One way to meet both requirements that organizations have found useful is through a VDI enclave solution.
Streamlining Compliance with FirstCall’s Expert Managed Services
Navigating the complexities of CMMC and CSPCS can be daunting, but you don’t have to do it alone. At FirstCall, we combine deep expertise in both Canadian and US cybersecurity standards with a commitment to providing tailored, practical solutions. Whether you have questions about specific requirements, need assistance with implementation, or seek a trusted partner to guide you through the certification process, our team is here to help. Contact us today to leverage our knowledge and experience, ensuring your organization achieves compliance efficiently and effectively, while strengthening your overall cybersecurity posture.
