The Collaborative International Dictionary of English v.0.48:

canalize \canalize\ v.
   1. to provide with a canal, as of a city.

   Syn: canal.
        [WordNet 1.5]

   2. to to direct the flow of; -- also used abstractly, as of
      money or information.

   Syn: channel.
        [WordNet 1.5]

WordNet (r) 3.0 (2006):

canalize
    v 1: provide (a city) with a canal [syn: canal, canalize,
         canalise]
    2: direct the flow of; "channel information towards a broad
       audience" [syn: channel, canalize, canalise]