IonQ has collaborated with the Fidelity Center for Applied Technology (FCAT) to develop a scalable state preparation technique for quantum computing applied to Monte Carlo methods. The technique, demonstrated on IonQ hardware with up to 20 qubits, could benefit financial institutions in tasks like portfolio management and other industries where Monte Carlo algorithms are used. The state preparation technique is expected to help institutions achieve faster results when run on large and accurate quantum computers.
IonQ and Fidelity Center for Applied Technology Develop Quantum Computing Technique for Monte Carlo Methods
IonQ has collaborated with the Fidelity Center for Applied Technology (FCAT) to develop an efficient and reliable design for applying quantum computing to Monte Carlo methods. This first-of-its-kind state preparation technique is scalable and has been demonstrated on IonQ hardware for up to 20 qubits. The achievement could benefit not only financial institutions in tasks like portfolio management but also other industries, including science and engineering, where Monte Carlo algorithms are used.
State preparation is a necessary component of many quantum algorithms and is fundamental in expediting Monte Carlo methods, which use randomness to simulate outcomes of complex problems. Financial institutions use Monte Carlo algorithms to understand the relationship between an outcome and multiple variables in complex systems, but their precision is frequently limited by the length of time needed to run the same algorithm repeatedly with different values of the variables. IonQ and FCAT believe that when run on large and accurate quantum computers, this state preparation technique will help these institutions achieve faster results.
The collaboration between IonQ and FCAT has resulted in a scalable and executable state preparation algorithm that can be run on Noisy Intermediate-Scale Quantum (NISQ) hardware. This development is expected to enable quantum sampling algorithms to scale to high precision, paving the way for quantum advantage on practical problems.
Quantum Computing’s Potential Impact on Finance
The new state preparation technique developed by IonQ and FCAT has the potential to reshape the field of finance. In finance, accuracy and speed can mean the difference between profit or loss. This technique could provide financial institutions with a tool they need to integrate quantum computing into their workflow and explore novel ways to inform portfolio engineering, retirement planning, and risk management in even the most complex of scenarios.
The Monte Carlo protocol is an integral component of financial planning, as it helps understand how several correlated variables interact with each other when one element is changed. However, current state preparation techniques are either theoretical or have some type of deficiency when scaling. The new algorithm developed by IonQ and FCAT is believed to be scalable and executable on NISQ hardware, potentially improving the efficiency and precision of financial planning processes.
IonQ’s Recent Developments and Partnerships
IonQ’s collaboration with FCAT is an extension of their ongoing project, during which the two groups issued a paper describing how certain generative quantum machine learning algorithms may provide an advantage over their classical counterparts. Additional information about IonQ’s work with FCAT will be presented at the American Physical Society (APS) Annual Meeting 2023, taking place March 5-10, 2023, in Las Vegas, Nevada.
Recently, IonQ acquired quantum software compiler Entangled Networks, with the goal of building large-scale quantum computers by enabling computation across multiple distributed quantum processors. In 2022, IonQ entered into a multi-million-dollar contract with the U.S. Air Force Research Lab, as well as partnerships with companies like Dell Technologies, Hyundai Motors, Airbus, and GE Research, among others.
About the Fidelity Center for Applied Technology
Since 1999, the Fidelity Center for Applied Technology has served as an innovative technology resource for Fidelity Investments. FCAT research and development teams evaluate and track important trends in technology, identifying those that will matter most to Fidelity over the next five years. FCAT is a catalyst for breakthrough achievements, developing and bringing new capabilities and products to scale and building effective tools and systems that support millions of individual and institutional customers.
“In finance, accuracy and speed can mean the difference between profit or loss. We believe this technique can provide financial institutions a tool they need to integrate quantum into their workflow and explore novel ways to inform portfolio engineering, retirement planning, and risk management in even the most complex of scenarios,” said Peter Chapman, CEO, IonQ.
“The Monte Carlo protocol is an integral component of financial planning, as it helps us understand how several correlated variables interact with each other when one element is changed,” said Adam Schouela, Head of Emerging Technology, Fidelity Center for Applied Technology. “However, current state preparation techniques are either theoretical or have some type of deficiency when scaling. Today, we’re proud to announce alongside IonQ a state preparation algorithm that we believe is scalable and executable on NISQ hardware.”
Summary
IonQ and the Fidelity Center for Applied Technology have developed a scalable state preparation technique for quantum computing, which could improve the efficiency of Monte Carlo methods used in finance and other industries. The technique is expected to enable quantum sampling algorithms to scale to high precision, paving the way for quantum advantage on practical problems.
- The technique is scalable and has been demonstrated on IonQ hardware for up to 20 qubits, potentially benefiting financial institutions and other industries that use Monte Carlo algorithms.
- State preparation is crucial for expediting Monte Carlo methods, which use randomness to simulate outcomes of complex problems.
- IonQ and FCAT believe that running this technique on large and accurate quantum computers will help institutions achieve faster results in tasks like portfolio management, retirement planning, and risk management.
- IonQ has recently acquired quantum software compiler Entangled Networks and entered into partnerships with companies like Dell Technologies, Hyundai Motors, Airbus, and GE Research.
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