US is taking equity stakes in IBM and other quantum computing companies
Source: Engadget
Javier Mostacero Carrera/Getty Images
Overview
The U.S. government has taken roughly $2 billion in equity stakes across nine quantum‑computing companies. The largest beneficiary is IBM, with additional investments in D‑Wave Quantum, Atom Computing, and PsiQuantum, as reported by the Financial Times and press releases from D‑Wave and PsiQuantum. The deals are not yet final, and the White House continues to solicit proposals from other technology firms.
“With today’s CHIPS Research and Development investments in quantum computing, the Trump administration is leading the world into a new era of American innovation,” said U.S. Commerce Secretary Howard Lutnick. “These strategic quantum‑technology investments will build on our domestic industry, creating thousands of high‑paying American jobs while advancing American quantum capabilities.”
Companies Receiving Stakes
| Company | Investment | Notable Connections |
|---|---|---|
| IBM | Largest share of the $2 B | Core U.S. quantum‑computing effort |
| PsiQuantum | $100 M | Linked to Donald Trump Jr.’s firm 1789 Capital (source) |
| D‑Wave Quantum | Part of the $2 B pool | Went public in 2022 under Michael Emil, a current senior Pentagon official |
| Atom Computing | Part of the pool | — |
| (Other four firms) | — | — |
The stock of D‑Wave Quantum rose sharply after the deal was announced.
Political Context
- The Trump administration has previously directed large investments into strategic sectors such as chips and critical minerals (e.g., a $10 B investment in Intel).
- Senator Elizabeth Warren and other lawmakers have questioned Department of Defense contracts awarded to firms tied to Donald Trump Jr., including Cerebras Systems, PsiQuantum, and Firehawk Aerospace.
- Intel is currently facing a shareholder lawsuit related to its U.S. government deal.
Quantum Computing Basics
Quantum computers use qubits—units that can exist in multiple states simultaneously—rather than classical bits that are strictly 0 or 1. This property gives them theoretical advantages for certain tasks, such as:
- Breaking cryptographic schemes
- Simulating complex physical systems
In October, IBM demonstrated the ability to run an out‑of‑time‑ordered correlator algorithm—a specialized quantum measurement—faster than a classical computer. See the original report for details: Engadget article on IBM’s breakthrough and the Wikipedia entry on the technique: Out‑of‑time‑ordered correlator.