The paper provides an assessment of what we currently know about college, institute and polytechnic (collectively described here as colleges) applied research and positions them as key players in Canada's innovation system and in the federal science and technology strategy. The paper builds upon findings of previous research and reports on the results of the 2008/2009 Applied Research Environmental Scan and interviews with colleges on the College and Community Innovation Program. Data for 78 institutions (60 percent) were collected. Previous analyses found that college applied research is an extension of the traditional partnership between colleges and the private sector. It is institutionally focused, requiring the mobilization of different college resources, whether human, material or technological, to deliver applied research services to private sector and community partners. The key findings of the 2008/2009 Applied Research Environmental Scan provide evidence of increased applied research activity by colleges, institutes, polytechnics, cegeps and university colleges across the country. Appended are: (1) List of Participating Colleges/Institutes; (2) Research Networks Identified by Respondent Colleges; (3) Areas of Research Specialization by Category and Province/Territory; (4) Research Centres and Specialized Labs by Category and Province/Territory; (5) List of CCI Funded Projects; and (6) Performance Measurement Tools for College Applied Research. Also included: Canadian College and Institute Applied Research Survey (Industry Partner Survey and Research Staff Survey). (Contains 5 tables, 10 figures, and 7 footnotes.)