Quantum Computing is making strides in deep tech and attracting much investor interest. No wonder then that several pure-play quantum stocks have come to the market. There are four pure-play quantum stocks, with a recent joiner to the public markets called Zapata AI. Just as the AI boom has whetted appetites for Artificial Intelligence-related stocks, might the Rise of Quantum do the same for quantum stocks?
Here, we outline four (now five) pure-play quantum stocks that some of you may have heard of only working on quantum technologies. Although it might be 4.5 in reality, as Zapata has changed focus to be more AI-centric, it retains some of that early Quantum heritage. However, companies investing in Quantum technologies are not restricted to those four pure-play quantum companies. Large technology companies such as Google and IBM have been developing quantum technologies for several years as part of a broader push into disruptive and cutting-edge technologies.
Quantum Stocks
Pure Play Quantum Stocks for the Purists
These companies work exclusively on building quantum technologies, such as quantum processors, quantum cloud services (QCaaS), and the tools and technologies to run quantum circuits typically in the cloud.
Pure Play Quantum Stock: IonQ [NYSE:IONQ]
Like the name, IonQ works on creating ion trap-based quantum services and is exposing its devices via Amazon Braket AWS. We have written extensively on ion-trap technology and the rollout of QCaaS with Amazon. The company prides itself on bringing quantum computing from the confines of research labs to practical, real-world applications, building on over 25 years of research.
By leveraging the unique properties of ions, IonQ aims to build quantum computers that are more stable and scalable than other quantum computing technologies. This focus on hardware development allows the company to push the boundaries of what’s possible in the quantum realm and to stay at the forefront of the rapidly evolving quantum computing industry.
The company has developed various quantum systems, including the IonQ Aria, which is their universally accessible flagship quantum system, and the IonQ Forte, which is their highest-performing commercially available quantum system. They also have systems like the IonQ Forte, and the IonQ Tempo, expected in 2025.
IonQ offers Quantum Computing-as-a-Service (QCaaS). This allows businesses and researchers to access IonQ’s quantum computing power without investing in and maintaining the hardware. By providing quantum computing capabilities via cloud platforms, IonQ makes it easier for organizations to experiment with and benefit from quantum algorithms and applications. One of the notable partnerships is with AWS, as evidenced by the code snippet demonstrating how developers can run quantum circuits on IonQ hardware using the AWS Braket SDK.
IonQ, Quantum Stock Ticker: IONQ
IonQ is a company that specializes in developing quantum computers using trapped ion technology. It aims to build scalable quantum systems for commercial and research applications.
Pure Play Quantum Stock: Rigetti [NASDAQ:RGTI]
Rigetti Computing was founded in 2013 by Chad Rigetti, a physicist who had previously worked on quantum computers at IBM. The company emerged from the startup incubator Y Combinator in 2014 and participated in The Alchemist Accelerator the same year.
Rigetti Computing (RGTI) is a full-stack quantum computing company. It designs and fabricates quantum chips, integrates them with a controlling architecture, and develops software for programmers to build algorithms for these chips. Their cloud computing platform, Forest, provides developers access to quantum processors for writing and testing quantum algorithms.
In October 2021, Rigetti announced its intention to go public through a SPAC merger, valuing the company at approximately $1.5 billion. The SPAC deal was finalized in March 2022, and the company’s shares began trading on the NASDAQ exchange. In December 2022, Subodh Kulkarni took over as the President and CEO of Rigetti. By July 2023, the company launched a single-chip 84-qubit quantum processor capable of scaling to larger systems.
The company has been recognized for its contributions to quantum computing. In 2016, X-Prize founder Peter Diamandis acknowledged Rigetti as one of the three leaders in the quantum computing domain, alongside IBM and Google. Furthermore, the MIT Technology Review named Rigetti one of the 50 smartest companies in 2017. The company has lost its cofounder, Chad Rigetti, and continues developing quantum computing.
Rigetti, Quantum Stock Ticker: RGTI
Rigetti Computing is a quantum computing company that designs and manufactures integrated quantum circuits, operates cloud quantum computing services.
Pure Play Quantum Stock: D-wave [NYSE: QBTS]
D-Wave Systems, based in Burnaby, British Columbia, Canada, was the world’s first company to sell computers that exploit quantum effects in their operation. Unlike traditional quantum computers, D-Wave’s machines implement specialized quantum annealing. However, in 2021, D-Wave announced plans to work on universal gate-based quantum computers in the future. The company’s early products include the D-Wave One, D-Wave Two, D-Wave 2X, D-Wave 2000Q, and D-Wave Advantage.
D-Wave’s (QBTS)early customers included Lockheed Martin, the University of Southern California, Google/NASA, and Los Alamos National Lab. In 2015, D-Wave’s 2X Quantum Computer was installed at the Quantum Artificial Intelligence Lab at Ames Research Center. The company has also collaborated with several universities and institutions, including UBC, IPHT Jena, Université de Sherbrooke, University of Toronto, University of Twente, Chalmers University of Technology, University of Erlangen, and Jet Propulsion Laboratory.
Recent events have seen a few warnings about stock prices from the NYSE threatening the delisting of the Quantum Annealing company, the first to sell Quantum Computers.
D-Wave, Quantum Stock Ticker: QBTS
D-Wave is a quantum computing company known for developing and commercializing quantum annealers designed to solve optimization and sampling problems.
Pure Play Quantum Stock: Quantum Computing Inc. [NASDAQ: QUBT]
QCI’s (QUBT) business model revolves around developing quantum software applications from various manufacturers that can be used on quantum computers. They aim to provide hardware-agnostic solutions, meaning their software can run on different quantum hardware platforms. This approach allows them to tap into a broader market and cater to clients with diverse quantum hardware preferences.
Quantum Computing Inc, Quantum Stock Ticker: QUBT
Quantum Computing Inc. specializes in developing quantum computing applications and software for non-quantum experts to solve complex computational problems.
Zapata AI [NASDAQ:ZPTA]
Zapata AI recently merged with Andretti Acquisition Corp. and is preparing to go public, reflecting its growth in the quantum field. The company has partnered with IonQ for generative AI applications and collaborated with Insilico Medicine for quantum-enhanced drug discovery. Beyond healthcare, Zapata has worked with BMW on vehicle production efficiency and delivered 30 Quantum Challenge Scenarios to DARPA, showcasing its versatility in commercial and defense areas. They’ve also opened a UK office focusing on quantum software and secured $38 million in Series B funding.
In a Quantum Zeitgeist interview, Zapata introduced their Scientific Advisory Board and discussed quantum computing’s future. These actions underline Zapata’s commitment to advancing quantum technology across sectors.
Technology Stocks working on Quantum
Many household names, including some you might not have heard of, are involved in the quantum sector. As quantum is such a potentially transformative technology, it is no wonder that it’s drawn the interest of leading technology companies such as Amazon, IBM, and Google. Below, we list those companies working on Quantum in some capacity but may not be working mainly on Quantum. Google’s primary business is search, but it has brought countless other products to market and has worked in various areas, including AI. Now, the impressive roster of technology includes Quantum Computing. Below is a summary of public technology companies.
Honeywell Quantum [NASDAQ: HON]
Honeywell Quantum is a key figure in quantum computing. In 2021, they merged with Cambridge Quantum to create Quantinuum, addressing quantum challenges. They’ve integrated quantum encryption in smart meters and launched their H1 system. In 2022, they introduced a system with a 2,048 Quantum Volume. Collaborations with Cambridge Quantum and a majority stake in Cambridge Quantum Computing (CQC) highlight their dedication.
Alibaba Group [NYSE: BABA]
Alibaba established the Alibaba Cloud Quantum Laboratory (ACQL) to delve into quantum computing applications. ACQL focuses on quantum algorithms, Quantum Machine Learning (QML), and hardware infrastructure. They’ve launched a quantum computing cloud platform in collaboration with the Chinese Academy of Sciences.
Baidu [NASDAQ: BIDU]
Baidu has been exploring quantum computing, with articles discussing their market strategy and global approach. They’ve launched a cloud quantum computing service and open-sourced a quantum machine learning toolkit.
Fujitsu [TYO: 6702]
Fujitsu has engaged in quantum ventures, including a Quantum Knowledge Center in Spain with CESGA. They’ve showcased a Quantum Arcade game, built the world’s fastest quantum simulator, and collaborated with Fujifilm on research.
Google [NASDAQ: GOOG]
Google has made advancements in AI and quantum technologies. They’ve supported Quantum-Resistant Cryptography in Chrome and discussed achieving Quantum Supremacy. They’ve also committed $50M for a Quantum Computing Partnership with universities.
Intel [NASDAQ: INTC]
In 2023, Intel launched the Tunnel Falls Chip with 12 qubits and announced the next phase of its Quantum Software Development Kit (SDK). They’ve been expanding their quantum software and hardware capabilities.
NEC [TYO: 6701]
NEC has been active in quantum technology, collaborating with Tohoku University on an 8-Qubit Quantum Annealing Machine and developing a unit cell for a fully-connected quantum annealing architecture.
Raytheon [NYSE: RTX]
Raytheon and IBM announced a collaboration on quantum technology in 2021, highlighting Raytheon’s commitment to quantum advancements.
Toshiba [TYO: 6502]
Toshiba has developed Quantum Key Distribution and collaborated with BT on quantum-secured networks. They’ve also provided an Ising machine integrated into Azure Quantum.
Nvidia [NASDAQ: NVDA]
Nvidia has engaged in quantum collaborations with SEEQC, Quantum Brilliance, and Quantum Machines. They’ve also partnered with Rolls-Royce and Classiq on quantum projects.
IBM [NYSE: IBM]
IBM has made significant quantum strides, including launching Canada’s first Quantum System One and collaborating with institutions like CERN. They’ve also unveiled a 433-qubit quantum processor and developed the Qiskit framework.
Microsoft [NASDAQ: MSFT]
Microsoft has advanced its Azure Quantum platform and introduced integrated hybrid features. They’ve collaborated with Johnson Matthey and KPMG and developed the Q# Language for quantum algorithms.
Amazon [NASDAQ: AMZN]
Amazon has expanded its quantum offerings through Amazon Braket, collaborating with QuEra Computing and the Wolfram Language. They’ve also introduced ‘Palace’ for cloud-based quantum hardware simulations.