IBM to Invest $10 Billion in Quantum Computing Over Five Years

Dow Jones05-28 22:26

International Business Machines will invest $10 billion in quantum computing over the next five years.

IBM shares rose 5% in morning trading.

The technology company on Thursday said that the investment will span research & development, capital expenditures, scaling manufacturing, and mergers and acquisitions. The commitment will help IBM hit its goal of delivering a large-scale, fault-tolerant quantum computer by 2029, the company said.

The Trump administration last week said it would award IBM a $1 billion grant to develop chips purpose-built for quantum computing through a new venture called Anderon. IBM said at the time that it would invest $1 billion of its own cash toward building the Anderon foundry in the U.S..

The grant was part of a $2 billion grant package from the Department of Commerce to nine quantum-computing companies. The federal government is expected to receive a minority stake in each company, according to The Wall Street Journal.

IBM is widely seen as one of the leading players in the race to develop and validate quantum computing at scale. The company said Thursday that it has deployed upward of 90 quantum systems to date.

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