Terrorism and cyber warfare in today’s world are often termed as new security challenges. While the issue of terrorism is not new, its evolving speed has made it difficult for states to proactively deal with this threat. Moreover, as the recent US elections illustrated, state actors can significantly influence outcomes in another state in the cyber arena. Considering these changing security dynamics, no defence policy can be complete until it addresses both these issues comprehensively. Hence, the purpose of this analysis is twofold: First, to provide a brief over view of how the threats of terrorism and cyberwarfare are addressed in the new Canadian Defence Policy “Strong, Secure, Engaged.” Second, to identify issues which are not explicitly addressed, yet should be considered as this policy is put into practice.