PsiQuantum Secures $750 Million in Funding
SAN FRANCISCO (Reuters) – Quantum computing startup PsiQuantum is in the process of raising at least $750 million in a funding round that values the company at $6 billion pre-money, according to sources familiar with the matter. BlackRock is leading the fundraising effort, which has not yet been finalized.
Unlike some of its competitors that utilize exotic materials, PsiQuantum intends to modify existing manufacturing techniques from the semiconductor industry. It utilizes photonics technology, similar to the chipmaking process used to create fiber-optic connections for internet communications, at a GlobalFoundries factory in New York. PsiQuantum plans to manufacture millions of quantum chips using this approach.
Scaling up to produce a high volume of quantum computing processors is a complex and costly endeavor that necessitates significant fundraising, one of the sources said.
Numerous startups and major tech firms are vying to advance quantum computing, which promises to solve complex problems that would take traditional computers thousands or even millions of years to complete. Scientists are hopeful that quantum machines will lead to breakthroughs in the development of new materials for batteries and the creation of novel drugs.
In recent months, Alphabet’s Google, Microsoft, and Amazon have all revealed new quantum computing chips. Last week, Nvidia, the world’s largest chip firm, announced it would establish a quantum computing research center in Boston.
PsiQuantum is collaborating with the governments of Australia and the United States to establish two quantum computers in the coming years, one in Brisbane, Australia, and the other in Chicago.
Although quantum computers have been around for decades, they have historically produced too many errors to be more useful than conventional computers. In recent years, companies have made advancements in improving quantum chips and correcting these errors. PsiQuantum anticipates it will have a useful machine by 2029 or sooner, with Google estimating useful quantum applications within five years.
(Reporting by Max A. Cherney, Anna Tong and Stephen Nellis in San Francisco; Editing by Chris Reese and Matthew Lewis)
