Latest news with #AzureQuantum
Economic Times
4 days ago
- Business
- Economic Times
Warren Buffett's hidden quantum play: Berkshire Hathaway's bet on Alphabet and Microsoft's next big frontier
Warren Buffett may have built his legacy backing railroads, banks, and consumer giants, but buried in a lesser-known corner of Berkshire Hathaway's empire lies an unexpected wager on the bleeding edge of technology: quantum computing. Through a quiet $616 million portfolio managed by a subsidiary investment firm, Buffett is indirectly betting on Alphabet and Microsoft, two tech titans investing heavily in quantum breakthroughs that could redefine computing, accelerate AI, and reshape entire industries. ADVERTISEMENT While Berkshire Hathaway's closely watched $292 billion stock portfolio is detailed each quarter in its public 13F filings, few investors pay attention to another vehicle within the conglomerate: New England Asset Management (NEAM), a specialty investment firm acquired in 1998 as part of Berkshire's $22 billion all-stock takeover of General Re. Though Buffett does not directly manage NEAM's day-to-day trades, the firm is a wholly owned subsidiary of Berkshire Hathaway, making its holdings a lesser-known extension of Buffett's empire. As of March 2025, NEAM managed Rs 5,280 crore ($616 million) in assets, with 122 individual securities disclosed in its latest 13F filing. Among the usual mix of exchange-traded funds and blue-chip names, two holdings stand out: Alphabet and Microsoft, companies with multibillion-dollar ambitions in quantum held 5,195 Class A shares of Alphabet at the end of March, extending Berkshire's indirect exposure to one of Silicon Valley's most aggressive research pipelines. ADVERTISEMENT Alphabet, already dominant in internet search and digital advertising, has been making strides in quantum computing through its experimental Willow chip. Introduced in December 2024, Willow has demonstrated the ability to reduce errors as it scales and has reportedly performed calculations in minutes that would take traditional supercomputers '10 septillion' years to complete, according to the still far from commercialization, Willow represents Alphabet's commitment to pushing the frontier of computing. With over Rs 95 billion in cash and marketable securities and Rs 36 billion in net operating cash flow generated in just the first quarter of 2025, Alphabet has both the capital and the cushion to invest aggressively in long-horizon technologies. ADVERTISEMENT Buffett's quantum computing bet doesn't end with Google. NEAM also held 4,530 shares of Microsoft (MSFT) as of March, giving Berkshire indirect exposure to another heavyweight racing toward quantum is integrating its Majorana 1 quantum processing unit into Azure Quantum, a cloud-based platform that enables users to develop and run quantum algorithms. The company believes the scalability and speed of its quantum platform could significantly advance research and problem-solving in fields where classical computers fall short. ADVERTISEMENT For now, quantum computing remains a nascent effort within Microsoft's sprawling business. But with nearly Rs 80 billion in cash reserves and Rs 93 billion in cash generated over the nine months ending March 31, the company has ample resources to pursue long-term innovation without sacrificing near-term has long been skeptical of speculative tech ventures, famously avoiding most of the dot-com boom and approaching artificial intelligence with caution. But NEAM's exposure to Alphabet and Microsoft's quantum projects reflects a subtler, more patient approach to disruptive innovation—backing companies with proven business models, fortress balance sheets, and the financial flexibility to take calculated bets on transformational technologies. ADVERTISEMENT Quantum computing may still be years away from commercial viability. Yet by quietly backing two of its most credible developers, Buffett is positioning Berkshire Hathaway, and its shareholders for long-term upside in one of the most ambitious technology revolutions of our time. Also read | Warren Buffett's billion-dollar EV play backed BYD, so why not Tesla? (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times) (You can now subscribe to our ETMarkets WhatsApp channel)
Yahoo
24-06-2025
- Business
- Yahoo
Quantum Networking: Is IonQ Ahead of the Big Tech Titans?
IonQ, Inc. IONQ has long positioned itself as more than a quantum computing company—it is building a full-stack quantum ecosystem. From the outset, the firm architected its systems for scalability through photonic interconnects, enabling distributed quantum computing across multiple quantum processing units. This foundational strategy is now evolving into a broader mission: to pioneer the quantum sets IonQ apart from Big Tech peers is its aggressive investment in quantum networking infrastructure. Through strategic acquisitions—including Entangled Networks, Qubitekk, ID Quantique, and most recently, Lightsynq and Capella—the company is assembling all the essential components of quantum communication. Lightsynq brings quantum repeater and memory technologies that remove distance limitations by enabling secure transmission across hundreds of kilometers. Capella strengthens IonQ's ambitions in space-based quantum networking and quantum key distribution (QKD), areas already under exploration by China and the commercial progress reinforces its lead. Its partnership with EPB in Chattanooga represents the first real-world deployment of both a quantum computer and network in one ecosystem. Meanwhile, IonQ's quantum networks are operational across sectors, including telecom (SK Telecom, Singtel), energy (EPB), and national cloud leaders like Microsoft MSFT and Amazon AMZN focus on hosting third-party quantum systems, IonQ is vertically integrating the stack—from hardware and photonic links to QKD protocols and satellite capabilities. Backed by a nearly $700 million war chest, IonQ is not just preparing for the quantum Internet—it is building it. For now, the company stands several steps ahead of its larger rivals in a race they have barely begun. While IonQ is heading quantum networking innovation, major tech giants like Microsoft and Alphabet GOOGL are not far behind in the broader quantum race. Microsoft's Azure Quantum platform focuses on a hybrid cloud-based model that integrates quantum computing with classical workflows. However, Microsoft has yet to reveal a clear strategy for quantum networking infrastructure, relying instead on partnerships and simulation-based models rather than hardware-driven quantum Google Quantum AI division is advancing quantum supremacy through its Sycamore processors, but its efforts remain largely confined to single-device computing. Unlike IonQ, Google has not announced plans for quantum repeater development or space-based networking MSFT nor GOOGL has demonstrated the same degree of vertical integration across compute and quantum communications as IonQ. While both possess deep resources and talent, their current focus is skewed toward quantum computation, leaving IonQ with a clear lead in the quantum networking frontier. IonQ shares have gained 61% in the past three months, outperforming the Zacks Computer - Integrated Systems industry. IONQ Share Price Performance Image Source: Zacks Investment Research IonQ's forward 12-month price/sales ratio of 99.45, far above the industry average of 3.71. Image Source: Zacks Investment Research For IONQ, the Zacks Consensus Estimate for 2025 loss per share has narrowed over the past 60 days, as you can see below, depicting analysts' optimism. The estimated figure indicates a much narrower loss than the year-ago reported loss of $1.56 per share. The Zacks Consensus Estimate for 2025 revenues implies year-over-year growth of 97.3%. Image Source: Zacks Investment Research IONQ stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Inc. (AMZN) : Free Stock Analysis Report Microsoft Corporation (MSFT) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report IonQ, Inc. (IONQ) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
30-05-2025
- Business
- Yahoo
IonQ vs. Microsoft: Which Quantum Cloud Stock Is the Better Buy Today?
Both IonQ, Inc. IONQ and Microsoft Corporation MSFT are making waves in the emerging field of quantum computing, each from very different positions. IonQ is a pure-play quantum computing pioneer, focused solely on developing cutting-edge quantum computers and networks. Microsoft is a tech giant weaving quantum technology into its massive Azure cloud they have in common is a commitment to 'quantum cloud' services – offering access to quantum computing via the cloud – and both have drawn investors' attention recently. IonQ's stock has surged on breakthroughs and strategic deals, while Microsoft continues to post strong cloud-driven results and invest in quantum R&D. The question is how these two quantum-exposed stocks stack up as investments. Let's dive deep and closely compare the fundamentals of the two stocks to determine which one is a better investment now. IonQ has positioned itself as a leader in trapped-ion quantum computing, achieving significant technical milestones. In first-quarter 2025, the company secured its first commercial sale, a $22 million deal with EPB, a utility in Tennessee, to deploy its Forte Enterprise quantum computer and quantum network. This marked the debut of both quantum computing and networking in a real-world application, solidifying IonQ's technological edge. The company's substantial intellectual property portfolio, with nearly 900 patents spanning quantum computing, communication, and sensing, further strengthens its position as a pioneer in the emerging quantum tech is aggressively expanding its reach through strategic partnerships and acquisitions. It has inked new partnerships in Asia (like in Japan and South Korea) to broaden its global presence. The company recently acquired or invested in key quantum networking players, including controlling interests in ID Quantique (a leader in quantum encryption) and Qubitekk, which positions IonQ at the forefront of quantum communication infrastructure. These moves vastly expand IonQ's total addressable market into areas like quantum-safe networking and secure satellite communications. IonQ is also building out a full-stack quantum ecosystem. Its systems are accessible via major clouds (Amazon's AWS Braket and Azure Quantum), and it's advancing enabling technologies like photonic interconnects for scaling quantum processors. Notably, the U.S. government has recognized IonQ's capabilities – the company was selected by DARPA for a national quantum benchmarking initiative, underscoring its credibility in pushing quantum performance 2025, IonQ forecasts revenue between $75 million and $95 million – roughly 97% growth at the midpoint, thanks to new contracts and its broadened product lineup. Such growth, if realized, would far outpace the broader tech industry and reflect the considerable demand for IonQ's quantum its promise, IonQ faces substantial challenges. The company remains deeply unprofitable, as it continues to invest heavily in R&D and talent. In first-quarter 2025, IonQ's net loss was $32.3 million (narrower than a year ago due to some one-time gains), and its adjusted EBITDA loss actually widened as operating expenses jumped 38% year over year. This heavy cost structure means profitability is still a distant goal. The quantum computing sector is highly competitive, with major tech companies like International Business Machines Corporation IBM, Alphabet's Google, and Microsoft investing billions to push the technology forward. At the same time, emerging players such as Baidu, Amazon, and Rigetti Computing RGTI are also vying for a stake in this fast-evolving market. Among IonQ's closest competitors in the trapped-ion space is Quantinuum, a Honeywell-backed joint venture, known for its high fidelity and commercial readiness. Rigetti provides a full-stack superconducting platform but is still in the early stages of commercialization with modest revenue. D-Wave Quantum QBTS specializes in quantum annealing, focusing on optimization problems with systems boasting over 1,200 qubits. Google's Quantum AI division leads in superconducting qubit development, setting benchmarks for scalability and quantum supremacy. Together, these companies define the competitive and rapidly shifting landscape that IonQ must navigate. Microsoft needs little introduction – it is one of the world's most valuable companies, with a dominant position in enterprise software and cloud computing. This scale and stability are key strengths for investors considering Microsoft as a 'quantum cloud' play. Unlike IonQ, Microsoft benefits from significant profitability and a broad economic moat across multiple tech sectors. Its Azure cloud platform is pivotal to its quantum strategy, providing access to a range of quantum hardware and software tools through Azure Quantum. This positions Microsoft as a central hub for quantum innovation, partnering with various hardware approaches, including ion-trap systems like IonQ's and superconducting early 2025, Microsoft unveiled its Majorana 1 quantum processing chip, a breakthrough in topological qubit research, signaling progress toward scalable, fault-tolerant quantum computers. With $80 billion in cash reserves (as of the fiscal third quarter of 2025-end), Microsoft has the financial strength to continue investing in quantum initiatives without impacting its core quantum strategy integrates internal innovation with strategic partnerships, such as its collaboration with Atom Computing and DARPA's support for its topological qubit work. Azure is also rolling out quantum services, including Azure Quantum Elements for industries like chemistry and drug discovery. With its cloud dominance and AI growth, Microsoft is primed to capitalize on quantum advancements, offering quantum computing-as-a-service when the technology quantum ambitions face several challenges. While exciting, quantum computing currently represents a tiny fraction of Microsoft's about $70 billion quarterly revenue, meaning breakthroughs in Azure Quantum won't significantly impact its financials in the near term. For investors seeking pure quantum exposure, Microsoft stock might dilute the theme due to its broader business drivers. Additionally, Microsoft's quantum hardware progress lags behind competitors like IBM, which has built over 100 qubit superconducting processors, while companies like IonQ and Quantinuum are advancing with current-generation machines. Microsoft's bet on topological qubits, though promising, remains in the research phase, with its Majorana 1 chip still a quantum field is also crowded with well-funded players like Google, Amazon, and IBM, intensifying competition. IonQ has recently garnered attention with a significant 57.8% surge in its stock price over the past month, despite a modest 3.4% year-to-date (YTD) gain. This uptick reflects growing investor confidence in its quantum computing advancements. Meanwhile, Microsoft continues to solidify its position in the tech industry, with an 8.8% YTD stock increase and a 7.8% rise over the past month. Microsoft has been pacing the broader tech rally, whereas IonQ's surge was an outlier. Microsoft's less dramatic stock moves reflect its large-cap stability. The Zacks Computer and Technology sector has gained 8.3% in the past month but declined 1.7% YTD. Image Source: Zacks Investment Research Valuation remains a key concern for IonQ. The company's forward 12-month price-to-sales ratio stands at a lofty 91.76, well above the sector average of 6.22. While this figure has fluctuated significantly over the past two years, ranging from 20.55 to 229.06, it reflects the high expectations embedded in the current share IonQ's stock is trading 21.1% below its 52-week high, it has surged 594.5% from its 52-week low, illustrating the speculative nature of its price movement. With limited revenue and substantial losses, IonQ's premium valuation is heavily dependent on its ability to execute its strategy and secure a leading position in the emerging quantum market before its Microsoft's valuation has also become very stretched compared to the sector, but much lower than that of IonQ. Microsoft trades at about 10.99X, far below IONQ but above the sector. Image Source: Zacks Investment Research For IONQ, the Zacks Consensus Estimate for 2025 loss per share has narrowed over the past 30 days, as you can see below, depicting analysts' optimism. The estimated figure indicates a much narrower loss than the year-ago reported loss of $1.56. The Zacks Consensus Estimate for 2025 revenues implies year-over-year growth of 97.3%.On the other hand, for MSFT stock, the earnings per share (EPS) estimate has increased over the past 30 days. The consensus mark for fiscal 2025 revenues and EPS indicates 13.7% and 13% growth, respectively. For IONQ Stock Image Source: Zacks Investment Research For MSFT Stock Image Source: Zacks Investment Research IonQ and Microsoft each represent compelling but distinct plays in the quantum cloud space. IonQ, as a pure-play quantum computing company, is a high-risk, high-reward investment with impressive growth prospects, highlighted by its strong patent portfolio, strategic partnerships, and significant revenue expansion forecast. However, its heavy losses and speculative valuation make it a more volatile option. In contrast, Microsoft offers a more stable investment with a dominant presence in the cloud and AI sectors, backed by a robust financial position. While its quantum ambitions are exciting, they currently constitute a small portion of its overall business, limiting the immediate impact on its financials. Given the current market dynamics, IonQ's Zacks Rank #2 (Buy) and its aggressive growth trajectory give it an edge for investors seeking higher risk and return potential, whereas Microsoft's diversified business and Zacks Rank of 3 (Hold) position it as a more conservative investment. In conclusion, for those willing to tolerate volatility in exchange for the chance of significant gains, IonQ is the stock with greater upside potential right now. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Microsoft Corporation (MSFT) : Free Stock Analysis Report International Business Machines Corporation (IBM) : Free Stock Analysis Report IonQ, Inc. (IONQ) : Free Stock Analysis Report Rigetti Computing, Inc. (RGTI) : Free Stock Analysis Report D-Wave Quantum Inc. (QBTS) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Forbes
30-05-2025
- Business
- Forbes
What's Behind The 400% Rise In IONQ Stock?
CANADA - 2025/05/09: In this photo illustration, the IonQ logo is seen displayed on a smartphone ... More screen. (Photo Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images) IonQ Inc. (NYSE: IONQ), a company specializing in quantum computing, has witnessed its stock price rise dramatically by 400% over the past twelve months. This surge demonstrates an increasing interest in quantum computing, a domain that has the capacity to transform multiple industries. Unlike traditional computers that operate on binary bits, quantum computers utilize qubits that can exist in various states at the same time. This core distinction enables them to conduct complex calculations and manage extensive data by examining numerous potential outcomes simultaneously. The scope of quantum computing applications is wide-ranging, encompassing everything from financial modeling and drug discovery to materials science. Nevertheless, despite its potential, quantum computing encounters a major obstacle: the frequency of errors increases as systems become more intricate with higher qubit counts. This characteristic renders the technology inherently unstable, which is typical for emerging advanced technologies. Nonetheless, substantial progress is being made. Firms like Google, IBM, and IonQ have shown the capability to create scalable quantum computers with dozens of qubits, a pivotal advancement toward practical uses. IBM is at the forefront of this field, featuring its 1,121-qubit Condor processor and plans to develop systems with 100,000 qubits by 2033. IonQ has also introduced new quantum systems, such as Forte, which provides software configurability and versatility for researchers. However, if you are seeking potential gains with a more stable investment than an individual stock, you might want to explore the High Quality portfolio, which has surpassed the S&P and achieved >91% returns since its establishment. Additionally, see – Nvidia Stock's 1 Big Risk IonQ provides a variety of quantum computing solutions, including high-performance quantum computers and networking systems. These are available through cloud platforms and direct agreements, such as Amazon Braket, Azure Quantum, and IonQ's own Quantum Cloud. IonQ's unique method employs trapped ions as quantum bits. They specifically utilize ionized ytterbium atoms, which are ionized by removing an electron using lasers in a technique also known as 'trapping.' These ions are held steady by a specialized chip. IonQ's product lineup features IonQ Forte – a 36-qubit quantum computer tailored for commercial and research purposes. An enterprise edition is also offered. Additionally, they provide IonQ Aria: – a 25-qubit quantum computer available through the cloud. The company plans to introduce Tempo later this year, aimed at large enterprises and governmental bodies, featuring 99.9% fidelity. Recently, IonQ's management drew comparisons between their enterprise and Nvidia within the quantum computing landscape, which has further fueled investor enthusiasm. While quantum computing holds immense potential, it is still in a developmental phase and is not yet prepared for widespread practical usage. IonQ's revenue of $43 million over the past twelve months is relatively modest, and the company reported an operating loss of $255 million during that same timeframe. IonQ's stock is particularly vulnerable to negative market conditions, exhibiting significantly greater volatility than the overall market. For example, amid the inflation shock of 2022, IonQ's value dropped by 90%, while the S&P 500 recorded a peak-to-trough decline of 25.4%. Similarly, during the market correction induced by the COVID-19 pandemic, IonQ saw a 51% decrease in value from its peak, contrasting sharply with the benchmark index's 34% decline. This trend underscores the substantial risk of IonQ's stock declining in unfavorable market circumstances. Like many stocks in the quantum computing sector, IONQ represents a high-risk, high-reward investment opportunity. Key elements affecting its direction include ongoing technological advancements and cost management. IonQ could potentially sell many quantum computers in the upcoming years, which might contribute to further increases in its stock price. For investors, backing IonQ equates to supporting the future possibilities of quantum computing and IonQ's role in that future. The company stands out as one of the few providing high-fidelity quantum computing through platforms like Amazon Braket and has significant clients including Hyundai, Airbus, and Dow. As technology progresses, we can anticipate enhanced precision from a wider array of firms in the quantum computing sphere. Reflecting on its previous performance, IONQ stock has exhibited considerable volatility when juxtaposed with the broader markets. The stock returns were 55% in 2021, -79% in 2022, 259% in 2023, and 237% in 2024. In contrast, the Trefis High Quality (HQ) Portfolio, comprising 30 stocks, has displayed much less volatility and has comfortably outperformed the S&P 500 over the last four years. What accounts for this? On average, HQ Portfolio stocks yielded superior returns with lower risk compared to the benchmark index, providing a less tumultuous investment experience, as shown in HQ Portfolio performance metrics.
Forbes
14-05-2025
- Business
- Forbes
Cooking Up Quantum Computing: Is It Dinnertime Yet?
BANGKOK, THAILAND - 2004/10/01: A chef demonstrates how to cook Spring Rolls at the Peninsula ... More Hotel's cooking school in Bangkok. Opening one of their restaurant kitchens as a real to life kitchen, the Peninsula has joined ranks in Thailand's latest tourism trend: Thai cooking schools, where visitors to the kingdom can learn the secrets of one of the world's most favorite cuisines and then take them home. (Photo by Leisa Tyler/LightRocket via Getty Images) Quantum computing is something of an enigma. For many analysts, advocates and evangelists across the technology industry, the quantum mixture has been quite maturely and meticulously defined; all we're waiting for now is a hardware-first evolution of systems design and manufacturing to make these super-powerful services more readily available. At the same time, many hands-on practitioners see it as further afield and might list it as a still-embryonic technology, due to fact that its mass market ubiquity is clearly lower in terms of penetration. Let's stop short of explaining quantum computing from scratch again, but perhaps remember that in standard binary computing, there are heads and tails, on and off, ones and zeros… but in quantum, the coin is spinning in the air and the value is potentially both heads and tails at the same time, a measure which is further extended depending on what angle we view the money piece from. In search of a comparatively original analogy to explain where quantum computing is at SAS CTO Bryan Harris has likened quantum computing to cooking on a five-burner stove with just four pots, while trying to fix 10 different meals using a multiplicity of different ingredients, some organic, some store-bought, standard issue. The cook's challenge (if this scenario were real) would be working out what order to cook the dishes in, when and where pots and pans could be reused, which ones needed to be cleaned to avoid cross-contamination… and then perhaps which ones could be left unwashed to build an enriched flavor profile in the final meal. With so many enterprise technology vendors (mostly large-scale, but start-ups too) now laying down a menu for the quantum arena today, it's not outrageous to say that few Michelin stars are being handed out in this market right now. We don't quite know all the recipes yet; we might even see too many cooks spoiling the broth unless we start to agree on some standardization. In terms of which firms are most active in quantum computing from the software application perspective development end of the spectrum, the key list includes IBM with the IBM Quantum platform offering a cloud-based access route to its superconducting qubit systems. Alongside the aforementioned SAS, there is Cisco and of course Google's Quantum AI division, which also centralizes its research and development on superconducting qubit technology. Through Azure Quantum, Microsoft makes sure it has skin in the game, then there is AWS, with the cloud hyperscaler giant providing quantum computing services through Amazon Braket, a technology base intended to enable software engineering teams to play and experiment with different quantum hardware platforms including technology from D-Wave, IonQ and Rigetti. The list of quantum luminaries (or luminaries in waiting) also includes Quantinuum, PsiQuantum, the above-noted D-Wave. With a reputation for advancing quantum annealing technology, D-Wave has progressed this method of optimization in the quantum field, which involves processes such as 'tunneling' to find the lowest energy state for any quantum computation. Finally, let's mention Xanadu, an organization that has become known for its open source approach to photonic quantum computing methods (something NTT also works closely and extensively with), which makes use of light particles (photons) rather than electrical electrons for computation. Aiming to become what it calls the 'Microsoft of quantum' (which in our epicurean analogy might be the McDonald's of quantum) is Israeli start-up Classiq Technologies. Now with funding and four years of development under its belt, founding CEO Nir Minerbi, CTO Yehuda Naveh and his son CPO Amir Naveh, think they have a recipe for success. Classiq Technologies has designed and created a software operating platform (as opposed to an operating system) intended to be used with what the firm says is 'all major types' of quantum hardware. The technology is custom-aligned to enable software engineers who primarily define themselves as data science specialists and computational scientists to develop quantum algorithms and create software applications and data services that with high-performance computational power. The company's Minerbi is quoted on the Times Of Israel saying, 'We are building the Microsoft of quantum computing. [This is] a software layer that powers the next generation of quantum applications, just as Microsoft did for classical computing. Microsoft's Windows made computers easier to use and allowed millions of people to build software without worrying about the machine underneath. Quantum computing is at a similar point today as personal computing was back then: It's powerful but hard to use… and we are delivering the essential software stack to empower the development of real-world quantum applications.' Back at SAS - a company that has laid down an arguably established estate of hybrid quantum offerings for some years now - the company somewhat hopefully suggests that as many as three out of five businesses are exploring quantum AI. The company's latest market study of quantum and related technologies makes direct inroads towards the possibility of quantum AI. SAS defines quantum AI by reminding us that 'The early 2000s saw the establishment of the Quantum Artificial Intelligence Lab by NASA, Google and the Universities Space Research Association. This initiative aimed to pioneer research on how quantum computing could enhance machine learning and other complex computational tasks. Around the same time, researchers began developing quantum machine learning algorithms, which leverage quantum computing to improve the speed and accuracy of AI models. In recent years, the focus has shifted toward the practical application of quantum AI.' SAS is sure that it has a handle on why firms struggle with quantum adoption and says that its research finds top concerns that include high cost, a lack of quantum skill sets and uncertainty around practical, real-world uses. The company thinks that while interest in quantum AI is on the rise, organizations need a clear roadmap and guide to make better use of this technology. Through pilot projects with customers, quantum AI research and work with leaders in quantum computing, SAS says it can provide guidance to businesses on applying quantum technologies as it seeks to make quantum understandable and approachable to a broad audience. It wants to help organizations get value out of emerging quantum services faster without having to understand the complex quantum market or the physics behind the technology. 'For decades, SAS has helped organizations across a host of industries find better answers faster and improve business decisions through data and AI. With the emergence of quantum technologies, companies can analyze more data than ever and achieve amazingly fast answers to very complex questions involving myriad variables,' said Bill Wisotsky, principal quantum architect at SAS. Wisotsky and team also detail the fact that a major consumer goods company is working with SAS on a proof of concept related to hybrid quantum-classical optimization, using quantum annealing and SAS classical optimization solvers. The company is now working with D-Wave Quantum Inc, IBM and QuEra Computing Inc. The latter is a specialist in neutral-atom quantum computing and SAS is a member of the QuEra Quantum Alliance Partner Program. 'SAS is already tackling real-world problems by applying hybrid architectures, which include both quantum and traditional (aka. classical) computing. Quantum AI brings together quantum computing and AI to develop new algorithms, models and systems that can process complex data, train complicated machine learning models and solve problems considered challenging or impossible with traditional computers,' detailed the company, in a press statement. Cisco has also been working hard to get the quantum dinner table set. The company's Quantum network entanglement chip is a research prototype that enables quantum networks to scale and connect quantum processors for practical applications. According to Vijoy Pandey, senior VP for Outshift by Cisco, just as Cisco helped build infrastructure for the internet, the organization is now focused on creating quantum networking technology that will be the foundation for the quantum internet, thereby (he claims) making quantum computing practical, 'years ahead of current timelines' with new milestone developments. The company recently opened Cisco Quantum Labs, a dedicated research lab in Santa Monica, CA, where quantum scientists and engineers are building tomorrow's quantum networking technologies. "Here's the challenge: today's quantum processors have only hundreds of qubits, while applications require millions. Even the most ambitious quantum computing roadmaps currently only target a few thousand qubits by 2030,' explained Pandey. 'Decades ago, classical computing faced similar challenges until we began to connect smaller nodes together through networking infrastructure to create powerful distributed systems within data centers and cloud computing. Just as the use of large classical monolithic computer systems phased out, the future of quantum does not lie in a single monolithic quantum computer. Scaled-out quantum data centers, where processors work together through specialized networking, will be the practical and achievable path forward. Companies building quantum processors will benefit from Cisco's quantum networking technologies to scale their systems. By building this infrastructure now, Cisco is helping to accelerate the entire quantum ecosystem.' Cisco's prototype quantum network entanglement chip generates pairs of entangled photons that enable instantaneous connection regardless of distance through quantum teleportation. That's a technology that Einstein described as 'spooky action at a distance' and is now becoming a reality. The company says its developments in this space work with existing infrastructures and operate at standard telecom wavelengths, so they can use existing fiber optic infrastructure. Crucially, here, this technology works effectively at room temperature as a miniaturized Photonic Integrated Chip (PIC), a significant development given the massive heat generated by quantum and the major cooling systems that are usually needed. 'Beyond the entanglement chip, we're using the lab to advance research prototypes of other critical components to complete our vision of the quantum networking stack, including entanglement distribution protocols, a distributed quantum computing compiler, Quantum Network Development Kit and a Quantum Random Number Generator (QRNG) using quantum vacuum noise. More components of our quantum datacenter infrastructure roadmap will be announced soon as we complete our vision of the quantum networking stack,' blogged Pandey. So is it quantum dinnertime, is the table laid and are all the pots and pans ready to go into process in the right sequence? We might optimistically say yes, to a degree, but you might want to get your orders in early and wait for a few kitchen mishaps along the way. When the final dishes do arrive, they will be supersized, superfast and hopefully super tasty.
