This NVIDIA-backed Company Could Reach A Pre-money Valuation Of $10 Billion

On Thursday, NVIDIA’s venture capital division made its first investment in Quantinuum, a quantum computing company majority-owned by Honeywell, which reached a pre-money equity valuation of $10 billion.

According to reports, NVIDIA’s investment is part of Quantinuum’s ongoing $600 million funding round. This round has attracted new investors, including Quanta Computer and QED Investors, while existing shareholders such as JPMorgan Chase, Mitsui & Co., and Amgen have also made additional investments.

The funding will support Quantinuum’s advancement in scalable quantum computing, including accelerating the development of its next-generation quantum computing system, Helios, which is set to be released later this year. Additionally, the capital will help the company take the lead in achieving universal fault-tolerant quantum computing.

It is still unclear what proportion of the $600 million funding round was contributed by NVIDIA’s venture arm. As part of NVIDIA’s broader AI investment strategy, this investment aligns with its overall layout.

NVIDIA CEO Jensen Huang has revised his expectations for quantum computing this year. In June, he stated that quantum computing technology is approaching an inflection point and that the time when it becomes a practical computing method is arriving sooner than anticipated.

NVIDIA currently offers software that enables its chips to operate in conjunction with quantum devices, positioning itself early in the next generation of computing paradigms that could potentially challenge the dominance of its data centers.

Huang stated that quantum computing will “be capable of solving some interesting global problems” in the coming years. He also mentioned that NVIDIA’s full quantum algorithm stack will be fully available and accelerated on the Grace Blackwell 200 chip.

Quantinuum has previously collaborated with NVIDIA to jointly promote the NVIDIA “Accelerated Quantum Research Center” in Boston, which aims to advance quantum technology.

In a filing last week, Quantinuum disclosed that a total of 35 unnamed investors participated in this funding round.

According to introductions, Quantinuum is led by CEO Rajeeb Hazra and develops quantum computers with powerful computing capabilities that can solve complex problems beyond the reach of traditional computers. Quantum computers, capable of parallel computing, process information far faster than conventional computers.

The company is developing platforms applicable to fields such as chemistry, machine learning, cybersecurity, finance, and drug development.

Quantinuum was established in 2021 through the merger of Cambridge Quantum and Honeywell Quantum Solutions. According to a statement at the time, the company completed a $300 million funding round led by JPMorgan Chase in January 2024, with a pre-money valuation of $5 billion. Quantinuum has over 500 employees in the United States, the United Kingdom, Germany, and Japan.

In February of this year, Honeywell announced it would spin off into independent publicly traded companies focused on aerospace, automation, and advanced materials. Honeywell Chairman and CEO Vimal Kapur stated during an earnings call in July that this fundraising by Quantinuum would provide the company with capital to prepare for an IPO around 2027.