Latest news with #TheQuantumInsider
Business Insider
16-07-2025
- Business
- Business Insider
$1.16 Billion Flows into Quantum in Q2 2025 as Big Tech and Investors Up Their Game
Investor sentiment around quantum computing is shifting, as the industry as a whole is gaining momentum. And it is not only coming from industry boosters. According to The Quantum Insider's Q2 2025 report, private capital investments, strategic acquisitions, and technical progress all increased in the second quarter. From early-stage funding rounds to corporate roadmaps and policy updates, quantum is showing signs of moving closer to commercial scale. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Before we begin with this week's recap, let's examine the chart below, which clearly illustrates the increasing demand for quantum systems on the global stage. This suggests wider adoption across more geographies and sectors, as buyers seek to diversify risk and test systems at smaller scales. $1.16 Billion Flows into Quantum Computing in Q2 The headline figure is $1.16 billion in private funding during Q2, representing a 50% increase from the same period last year. The quarter saw fewer deals but larger ones, a pattern that typically reflects growing confidence among institutional investors. For context, Spain-based Multiverse Computing has raised $215 million to advance its AI compression tool for large language models. SandboxAQ raised $450 million from new and returning backers, including Ray Dalio, Google (GOOG), and Nvidia Corporation (NVDA). Another private company, Infleqtion, secured $100 million in Series C financing to scale its atom-based quantum systems. Several public companies also used stronger demand to raise fresh capital. IonQ Inc. (IONQ) completed a $372 million at-the-market equity offering. Quantum Computing Inc. (QUBT) and D-Wave Quantum Inc. (QBTS) each raised $400 million. M&A Is on the Rise Another strong indicator of the positive shift is the increase in M&A activity, which was also evident in Q2. IonQ Inc. announced it will acquire UK-based Oxford Ionics for $1.075 billion in stock and cash. The deal brings together IonQ's commercial footprint with Oxford's semiconductor-based ion-trap qubit technology. French startup Pasqal acquired Canadian photonics firm AEPONYX to improve its roadmap toward fault-tolerant quantum computing. On the technical front, IBM (IBM) has unveiled plans for its Quantum Starling system, which is expected to be available by 2029 and is projected to perform 20,000 times more operations than today's quantum machines. Microsoft (MSFT) introduced a new class of four-dimensional error correction codes that could reduce the number of physical qubits required for scalable systems. Another major quantum player, although private for now, is Quantinuum, which has reported a milestone in demonstrating a scalable and fault-tolerant universal gate set. The company says this achievement is a step toward practical use cases. Nvidia CEO Jensen Huang reflected a broader change in tone during a June keynote, saying quantum computing is nearing an inflection point. Just earlier this year, he suggested that practical machines were still likely to be decades away. His remarks, along with Nvidia's backing of SandboxAQ, add weight to the change in tone. Administrative Backing As the subheading suggests, governments are also paying attention. U.S. lawmakers held a hearing in June on the cybersecurity risks posed by quantum computing and called for updates to cryptographic systems. The UK government has committed £500 million, approximately $672 million, toward national quantum programs. The sector still faces challenges, but in Q2, several signs pointed in the same direction. Capital is flowing, product roadmaps are tightening, and both public and private players are aligning behind quantum's potential. For investors tracking the sector, the second quarter of 2025 marked a notable step forward. Using Tipranks' Comparison tool, we've assembled and compared all the publicly traded quantum computing companies appearing in the article. This helps you gain a better and broader perspective on each ticker and the industry as a whole.
Yahoo
10-06-2025
- Business
- Yahoo
PsiQuantum Eyes $750M Raise As BlackRock Doubles Down On Light-Based Supercomputers Amid Nvidia's Quantum Reversal
Quantum computing startup PsiQuantum is seeking to raise at least $750 million in a funding round led by BlackRock (NYSE:BLK), aiming to double its valuation to $6 billion, San Francisco Business Times reports. The Palo Alto-based company is developing a fault-tolerant quantum computer using photonic qubits, leveraging traditional semiconductor manufacturing techniques. According to PsiQuantum's website, the company's approach involves using photons as qubits, allowing for scalability through existing chip fabrication processes. Don't Miss: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Maximize saving for your retirement and cut down on taxes: . PsiQuantum is collaborating with the governments of Australia and the U.S. to build quantum computing facilities in Brisbane and Chicago, respectively, Reuters reports. According to the Australian Financial Review, the company has secured $617 million in funding in Australia from federal and Queensland governments to construct a commercial quantum computer. In the U.S., PsiQuantum plans to build a 300,000-square-foot facility in Chicago's Illinois Quantum and Microelectronics Park, supported by more than $500 million in anticipated public funding, The Quantum Insider says. The initiatives underscore PsiQuantum's commitment to advancing quantum computing infrastructure globally. PsiQuantum manufactures its quantum chips at GlobalFoundries' facility in New York, utilizing photonic technology developed for fiber-optic communications, Reuters reports. Trending: Wall Street's Missing This AI Surgical Tech — You Don't Have To. According to The Quantum Insider, the company has introduced the Omega quantum photonic chipset, designed for utility-scale quantum computing, featuring high-performance photonic components. Additionally, PsiQuantum has developed high-speed optical switches and improved photon detectors to enhance quantum circuit performance. To boost efficiency, PsiQuantum implemented a compilation technique known as active volume compilation, aiming to reduce application run times by approximately 50-fold, The Quantum Insider says. BlackRock, which led PsiQuantum's previous $450 million round, is returning as lead investor, signaling sustained institutional confidence. According to San Francisco Business Times, other major backers include Microsoft's (NASDAQ:MSFT) venture arm M12, Atomico, Founders Fund, Playground Global, Temasek Holdings, and FPV Ventures. According to The Information, Nvidia (NASDAQ:NVDA) is in advanced discussions to invest in PsiQuantum, signaling a strategic shift in its quantum computing approach. This potential investment follows Nvidia CEO Jensen Huang's announcement of a new quantum computing research lab in Boston, in collaboration with Harvard and MIT, Reuters January, Huang rocked the sector by suggesting quantum computers were at least 20 years from viability, sending quantum-related stocks tumbling. But just weeks later, during Nvidia's 'Quantum Day' at its GTC conference in San Jose, California, Huang reversed course, admitting his earlier comments were off the mark, according to CNBC. That shift helped reignite interest in companies like PsiQuantum, which now stand to benefit from the renewed optimism and visibility. While competitors such as Google, IBM (NYSE:IBM), Intel (NASDAQ:INTC), Honeywell (NASDAQ:HON), and Rigetti Computing (NASDAQ:RGTI) continue to push their own quantum architectures, PsiQuantum's photonic approach is seen by many as a promising alternative, San Francisco Business Times says. PsiQuantum's funding round reflects growing investor confidence in the company's photonic quantum computing technology. The company's innovative approach may position it as a key player in the race to develop practical quantum computing solutions. Read Next: Here's what Americans think you need to be considered Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article PsiQuantum Eyes $750M Raise As BlackRock Doubles Down On Light-Based Supercomputers Amid Nvidia's Quantum Reversal originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
13-02-2025
- Business
- Globe and Mail
Better Quantum Computing Stock: IonQ vs. Alphabet
The quantum computing industry is at a critical inflection point as it transitions from research labs to commercial applications. While a definitive quantum advantage -- where quantum computers decisively outperform classical systems -- has yet to be achieved, the race to reach this milestone is driving significant investment opportunities. According to The Quantum Insider, quantum computing could generate $1 trillion in economic value by 2035, transforming industries such as finance, defense, life sciences, and manufacturing. At the forefront of this revolution are IonQ (NYSE: IONQ) and Alphabet (NASDAQ: GOOG)(NASDAQ: GOOGL), two companies pursuing distinct technological approaches to quantum computing. As this cutting-edge technology reshapes fields ranging from drug discovery to financial modeling, understanding their unique strategies and market positioning is essential for investors looking to capitalize on its potential. Below, I'll explore each company's quantum platform to assess which stock offers the best exposure to this transformative innovation. The case for IonQ IonQ's competitive position in quantum computing rests on three key advantages. First, the company's trapped-ion technology is experiencing strong commercial traction, particularly in government and defense. The company's business momentum is reflected in two recent U.S. Air Force Research Lab contracts -- a $54.5 million quantum computing agreement and a new $21.1 million quantum networking project via Qubitekk. These contracts, coupled with a new strategic partnership with General Dynamics, demonstrate growing confidence in IonQ's quantum solutions. The company's cloud-based quantum computing services represent another key advantage. IonQ makes its quantum computers accessible through major platforms including Amazon, Microsoft, and Google, creating multiple revenue streams while expanding market reach. This quantum-computing-as-a-service (QCaaS) model allows customers to experiment with quantum applications without significant upfront investment. However, IonQ remains deeply unprofitable as it prioritizes technological advancement over near-term earnings. Last November, the company reported a net loss of $129.6 million in the first nine months of 2024, with an accumulated deficit of $481.7 million. While concerning, these losses reflect heavy investments in achieving higher qubit counts and fidelity-critical milestones for reaching broad quantum advantage. The case for Alphabet Alphabet's quantum computing ambitions demonstrate the power of deep technical expertise and resources. The company's latest Willow quantum processor shows remarkable progress, achieving error correction that scales with more qubits -- a crucial milestone known in the industry as "below threshold." This breakthrough suggests Alphabet is making significant strides toward practical quantum computing. The technical achievements are striking. Willow completed computations in under five minutes that would take today's fastest supercomputers billions of years to solve. While this benchmark doesn't yet have commercial applications, it validates Alphabet's approach to quantum architecture and error correction. Moreover, Alphabet's state-of-the-art fabrication facility in Santa Barbara gives it end-to-end control over the complex manufacturing process. However, Alphabet's quantum computing efforts represent just one initiative within its vast technology portfolio. The company's recent earnings show strong artificial intelligence (AI) monetization and cloud growth, driving a rather healthy operating margin of 32% in the most recent quarter. While quantum computing could enhance these businesses over the long term, particularly in AI applications, it remains a research-focused investment, rather than a near-term revenue driver. Which stock is the better quantum computing play? For investors seeking pure quantum computing exposure, IonQ presents a clearer opportunity, despite its current unprofitability. The company's growing government contracts and strategic partnerships demonstrate commercial validation of its trapped-ion technology, while its cloud-based service model creates multiple paths to revenue growth as the quantum computing market develops. Alphabet offers a more balanced investment proposition. While its quantum computing breakthroughs are impressive, particularly in error correction, they represent just one component of a diverse technology portfolio. The tech stock gives investors quantum computing exposure alongside established revenue streams from advertising, cloud services, and artificial intelligence development. However, for investors specifically seeking quantum computing exposure, pure-play alternatives may offer more focused opportunities. Should you invest $1,000 in IonQ right now? Before you buy stock in IonQ, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and IonQ wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $813,868!* Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than quadrupled the return of S&P 500 since 2002*. *Stock Advisor returns as of February 7, 2025 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. George Budwell has positions in IonQ and Microsoft. The Motley Fool has positions in and recommends Alphabet, Amazon, and Microsoft. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.
