U.S. to award $2 billion in quantum grants, taking equity stakes in nine companies

An anonymous reader quotes a report from the Quantum Insider: The Trump administration is preparing a new round of industrial policy aimed at quantum computing, with roughly $2 billion in grants expected to go to nine companies developing quantum hardware and related technologies. According to Reuters, citing a Wall Street Journal report, the U.S. Department of Commerce plans to distribute the funding through deals that also give the federal government equity stakes in the companies receiving the awards. The approach would expand Washington's increasingly direct involvement in sectors viewed as strategically important to national security, advanced manufacturing and competition with China. Reuters reported that IBM is expected to receive the largest share of the package at about $1 billion. Semiconductor manufacturer GlobalFoundries is slated to receive approximately $375 million, according to the report. Other recipients are expected to include D-Wave Quantum, Rigetti Computing, Quantinuum and Infleqtion, with each company potentially receiving around $100 million, Reuters reported. Australian quantum startup Diraq could receive about $38 million, according to the Wall Street Journal report cited by Reuters. Fast Company notes in its reporting that IBM will invest the funds it receives into a new IBM company called Anderon. It will also match the grant with another $1 billion in cash. "Anderon will operate as a state-of-the-art 300-millimeter quantum wafer foundry," IBM stated in an announcement. "It will help the nation solidify its leadership at the center of a thriving new quantum industry that is estimated to generate up to $850 billion in economic value by 2040 and spur American economic growth while also bolstering national security." Quantum computing stocks soared after the news. As of publication, IBM is up about 9.7%, D-Wave is up about 28.1%, and Rigetti is up about 26.7%. Meanwhile, Global Foundries rose about 13.8% and Infleqtion jumped about 30.9%. Read more of this story at Slashdot.

It’s a good day to be an American quantum computing company—well, as long as you’re willing to give up some equity.  Nine major firms are splitting $2 billion in grants from the Trump administration, the Wall Street Journal reports. In return, the government will take varying equity stakes in each of the companies. IBM will receive half the award, putting it toward a new IBM company called Anderon. IBM will match the grant with another $1 billion in cash for the Albany, New York-based standalone company.  It’s an investment that IBM predicts will pay off in spades. “Anderon will operate as a state-of-the-art 300-millimeter quantum wafer foundry,” IBM stated in an announcement. “It will help the nation solidify its leadership at the center of a thriving new quantum industry that is estimated to generate up to $850 billion in economic value by 2040 and spur American economic growth while also bolstering national security.”  Alongside IBM, GlobalFoundries is set to receive $375 million from the grant, while companies such as D-Wave Quantum, Inc., Infleqtion Inc., and Rigetti Computing Inc. should get $100 million each.  Diraq, a private startup, is expected to receive $38 million.  The final deals are still being confirmed and multiple announcements state the funds are contingent on meeting certain milestones.  Fast Company has reached out to the Commerce Department for comment. We will update this post if we hear back.  Shares of publicly traded companies involved were up in Thursday’s premarket.  As of publication, IBM (NYSE: IBM) is up about 6.6%, D-Wave (NYSE: QBTS) is up about 17.5%, and Rigetti (Nasdaq: RGTI) is up about 15.5%. Meanwhile, Global Foundries (Nasdaq: GFS) rose about 14.5% and Infleqtion (NYSE: INFQ) jumped about 24%.  The government wants a stake in quantum computing companies It’s critical to highlight that these grants are being supplied by the Biden-era 2022 Chips and Science Act. It provided $280 billion in funding for semiconductors—a critical part of quantum computing—over the next decade, and votes against it came from 187 House Republicans and 32 Senate Republicans.  Last year, Trump used his joint address to Congress as a platform to rally against the legislation. “Your CHIPS Act is a horrible, horrible thing,” Trump told Congress, according to Politico.  Directing his remarks at Speaker Mike Johnson, he continued: You should get rid of the CHIP[S] Act and whatever’s left over Mr. Speaker, you should use it to reduce debt or any other reason you want to.” Now, despite the Chips and Science Act devoting money toward advancement, the Trump administration is making these grants contingent on receiving stakes in the quantum computing companies.  Yes, as part of the award, the Trump administration is continuing its unusual practice of taking equity in major companies. Notably, the government took a 10% stake in Intel last year. D-Wave and Infleqtion plan to offer $100 million worth of common stock to the Commerce Department—with Infleqtion proposing a 15% discount on market pricing.

Quantum Stocks Erupt As U.S. Gov't Awards $2 Billion, Takes Equity Stakes IBM and small-cap quantum names, including IonQ, D-Wave Quantum, Rigetti Computing, Infleqtion, and other peers, are surging in New York premarket trading after a Wall Street Journal report said the Trump administration is preparing to award $2 billion in CHIPS Act grants to nine quantum-computing companies. IBM is set to receive half of the $2 billion tranche, or about $1 billion, as the large-cap leader in the race to build quantum computing systems that could revolutionize national security, accelerate scientific discovery, and deliver a range of other economic benefits. WSJ, citing the Commerce Department, outlined the companies expected to receive funding from the 2022 Chips and Science Act: The department has agreed to give $1 billion of the package to IBM, a leader in the race to build computers that use quantum mechanics to solve problems much faster than traditional supercomputers. . . . IBM and other companies are working to develop specialized chips for quantum computing, a focus for the government in its bid to spur domestic supply chains. Chip maker GlobalFoundries is receiving $375 million in funding. The rest of the firms are expected to receive $100 million, except for startup Diraq, which is slated to get $38 million. A slew of companies pursuing various approaches to quantum are slated to be awarded funds, including publicly traded firms D-Wave Quantum, Rigetti Computing and Infleqtion. Commerce Secretary Howard Lutnick's strategy of using federal funding in exchange for equity stakes will also apply to the quantum computing companies listed above. This is similar to a series of other deals, especially in the rare earths space, including rare-earth magnet maker Vulcan Elements and mining company MP Materials. US TO GRANT $2B TO 9 QUANTUM COMPUTING FIRMS, TAKE STAKES: WSJ Among companies receiving funds: IBM: $1BN GFS: $375MM QBTS: $100MM RGTI: $100MM INFQ: $100MM — zerohedge (@zerohedge) May 21, 2026 Lutnick stated, "The Trump administration is leading the world into a new era of American innovation." In premarket trading, IBM rose 6%, D-Wave Quantum soared 19%, Rigetti Computing jumped 15%, and IONQ up 9%. Quantum computing benefits: National security: Quantum systems could eventually break parts of today's encryption, forcing governments, banks, defense firms, and cloud providers to move toward post-quantum cybersecurity. It also has potential uses in secure communications, advanced sensing, navigation, and intelligence systems. AI and scientific discovery: Quantum computing could accelerate complex simulations used in materials science, drug discovery, chemistry, energy systems, and advanced manufacturing. Combined with AI, it could shorten research cycles that currently take years. Semiconductors and supply chains: The race is not only about software. It requires specialized chips, cryogenics, photonics, control systems, and advanced manufacturing capacity, making it a strategic industrial-policy priority similar to AI chips. Finance and logistics: Quantum algorithms could improve optimization problems, including portfolio modeling, risk analysis, routing, supply-chain planning, and energy-grid management. "Everybody is excited about quantum because it is the next big thing. A lot of the expectations and hopes have yet to be realized," said Dana Goward, president of the Resilient Navigation and Timing Foundation. It is important to note that quantum computing remains in the early stages, is expensive, and is technically challenging. Nvidia CEO Jensen Huang recently said that "very useful" standalone quantum computers are still roughly 15 to 20 years away. Tyler Durden Thu, 05/21/2026 - 07:45