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Omdia: Global quantum computing revenue is expected to grow more than 24 times in the next decade.

AInvestWednesday, Aug 14, 2024 11:30 pm ET
1min read

According to Omdia, global revenue for quantum computing (QC) providers will grow from $1.1bn in 2023 to $28.2bn in 2033, with a CAGR of 37.7% over the decade. North America and Europe are expected to be the leading regional markets, followed by Asia and Oceania in third. Cloud-based access services will account for the largest portion of revenue, followed by hardware, consulting and software.

Most importantly, investments in QC providers rebounded in 2024 after declining in 2022 and 2023. R&D in advanced technology areas such as QC requires significant funding, while mainstream revenue takes time. 2024 saw several large funding rounds, such as PsiQuantum raising $617m and Riverlane raising $75m. The increase in investment is a strong signal that the industry will have the resources it needs to make QC commercially viable.

Similarly, suppliers and other researchers have released more announcements in the past year highlighting progress made in scaling up quantum bits and in actually achieving quantum speedups in critical areas (at least at small scales). These advances bolster confidence that quantum speedups will at least start to bring economic value in the near term while we wait for a full “quantum computing advantage”. NTTDoCoMo, the Japanese carrier, announced that it will use quantum annealing for mobile infrastructure optimization from July 2024.

Sam Lucero, chief analyst for quantum computing at Omdia, said: “Scaling up fault-tolerant quantum computing will help humanity tackle key climate challenges, develop new drugs and materials, and make important progress in AI. But there is still a long way to go to fully achieve this goal.”

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