$1 billion financing sets a record! Quantum computing "exploded," with BlackRock, Temasek, and Baillie Gifford investing

Just now, a record for a single round of financing in the field of quantum computing was established—reaching $1 billion, highlighting the ongoing investment boom.

On September 10, according to media reports, American quantum computing startup PsiQuantum completed a $1 billion financing round, setting a record for a single round of financing in the quantum computing field, with the company's valuation reaching $7 billion. This round of financing was led by BlackRock, Temasek, and Baillie Gifford, with participation from new investors including NVIDIA's venture capital division.

PsiQuantum stated that this funding will help it build a quantum computer with 1 million qubits by 2028, far exceeding the hundreds of qubits of the current most advanced devices. The company's Chief Scientist Peter Shadbolt said that a computer of this scale will be able to solve "business value problems that no one else can solve."

It is noteworthy that PsiQuantum's timeline may give it an edge in the race against Google and IBM.

The Surge of Investment in Quantum Computing

This year has seen a concentrated explosion of investment and valuation in the field of quantum computing. Competitor Quantinuum announced this month that it has completed a $600 million financing round, reaching a valuation of $10 billion; Finnish company IQM also raised $300 million.

The stock market reflects this enthusiasm as well. The total market capitalization of three publicly listed American quantum systems companies—IonQ, Rigetti, and D-Wave—has soared from less than $5 billion last November to $22 billion. This wave of enthusiasm began at the end of last year and accelerated due to a series of technological breakthroughs in the field.

Behind the investment boom is the increasingly clear prospect of commercializing quantum technology. PsiQuantum's Chief Scientist Peter Shadbolt stated that sufficiently large quantum computers will be able to solve "commercially valuable problems that no one else on Earth can solve without quantum machines."

According to previous reports, quantum machines are expected to play a key role in scientific breakthroughs such as new material development and drug discovery, capable of addressing business value problems that traditional computers cannot handle.

Intensifying Competition with Differentiated Technical Paths

PsiQuantum has adopted a core technological path that differs from most quantum computers. The company's qubits are based on photons rather than electrons and atoms, claiming that this photon-based quantum chip is easier to produce in existing chip manufacturing facilities, providing a faster path to large-scale applications.

Another advantage of this technological route is that the system does not need to operate at extremely low temperatures, significantly reducing the need for ultra-low temperature equipment compared to solutions from companies like Google and IBM. Baillie Gifford investment manager Luke Ward stated:

PsiQuantum has already "achieved all technical milestones," significantly reducing technical risks. "Now they don't have to invent any new devices or new science; the focus is on integrating existing technologies." "Despite this, the overall field still faces severe technical challenges. Google is the only company that has demonstrated the ability to control the "noise" within quantum systems, which can interfere with computations as more qubits are added, and error correction capability is a key technical barrier.

PsiQuantum has not yet proven its ability to address error correction issues and has failed to achieve its five-year goal of building a full-scale machine by 2024.

The company plans to begin construction of its first full-scale quantum computing facility in Australia later this year and has secured a commitment of AUD 940 million in equity and loans from the Australian government. It has also reached an agreement with Chicago to build a full-scale quantum system locally