Global Quantum Computing Market - 2023-2030

Global Quantum Computing Market - 2023-2030

Global Quantum Computing Market reached US$ 650.1 million in 2022 and is expected to reach US$ 8,788.8 million by 2030, growing with a CAGR of 38.9% during the forecast period 2023-2030.

Growing adoption of quantum computing in various industries such as logistics and materials science helps to boost market growth. Quantum computing holds promise in the field of drug discovery by simulating molecular interactions and optimizing molecular structures. The pharmaceutical industry's interest in leveraging quantum computing for accelerated drug discovery is a significant driver.

Growing investments by major key players for quantum computing further help to boost market growth over the forecast period. For instance, on November 02, 2023, Nu Quantum secured £7m to build the networking infrastructure for quantum computers. The funding helps to accelerate the company’s mission to build the entanglement fabric essential to scale quantum computers.

The growing presence of the major key players of quantum computing in the North America helps to boost regional market growth over the forecast period. For instance, on October 26, 2023, Alice & Bob expanded their business in North America and accelerated its technology advancements for the quantum-ready market. The company focused on the race to logical qubits that can create major impacts for businesses in the fault tolerant quantum computing era.

Dynamics

Rising Investment in Quantum Technology by the Government

The rising investment in quantum technology by governments globally helps to boost the market growth of the quantum computing market. Governments recognize the importance of quantum technologies and are increasingly investing funds to support research, development and commercialization efforts. Governments provide substantial funding for quantum research and development initiatives. The funding supports academic institutions, research organizations and private companies engaged in advancing quantum computing technologies.

According to the data given by Qureca in 2023, the global quantum effort leading to research and innovation in quantum science and technology is rising globally. Globally this investment exceeds US$ 38.6 billion. According to their estimation, the global quantum technology market is projected to reach US$ 106 billion by 2040. Australia has invested US$ 85.40 million through federal funding for the development of quantum technologies.

Growing Adoption of Quantum Technology in Various Industries

Quantum computing has the potential to optimize complex logistics and supply chain processes. It addresses optimization problems related to inventory management, route planning and distribution, leading to more efficient and cost-effective operations. Quantum computing is especially explored for its ability to simulate molecular interactions accurately. In the pharmaceutical and healthcare industries, quantum technology accelerates model biological systems and drug discovery processes and contributes to personalized medicine.

The public sector is also invested in quantum technology which further helps to boost market growth over the forecast period 2023-2030. In 2022, U.S. offered US$ 1.8 billion in funding and the European Union offered US$ 1.2 billion China invested the highest of US$ 15.3 billion in quantum technology. Growing investment in quantum technology help to boost market growth over the forecast period 2023-2030.

Stability and Error Correction Issues

Quantum computers are highly sensitive to external factors, leading to issues like decoherence and instability. Reliability concerns hinder the confidence of users and businesses in relying on quantum computers for critical computations. High error rates in quantum computations limit the accuracy of results. In applications where precision is crucial, such as in cryptographic algorithms or complex simulations, the presence of errors renders the outcomes unreliable and diminishes the value of quantum computing.

Many practical quantum computing applications, such as factoring large numbers or simulating complex quantum systems, require low error rates. Current error rates in existing quantum computers pose a barrier to achieving practical quantum advantage in these applications. Implementing effective quantum error correction is a complex and resource-intensive task. The overhead associated with error correction algorithms, such as the need for additional qubits, compromises the scalability and efficiency of quantum computations.

Segment Analysis

The global quantum computing market is segmented based on offering, deployment type, technology, application, end-user and region.

Quantum Computing Service Accounted Largest Market Share

Based on the offering, the quantum computing market is divided into hardware, software, service, consulting services, training & education services and others. The service offerings segment holds the largest market share in the quantum computing market. Quantum computing is a highly specialized and complex field. Many organizations, particularly those without in-house expertise, seek the assistance of service providers to navigate the intricacies of quantum technologies.

Service providers offer expertise in quantum algorithms, programming and optimization, helping clients harness the power of quantum computing without needing to develop in-house capabilities. Many quantum computing service providers offer cloud-based solutions, allowing organizations to access quantum computing resources remotely. The model reduces the barriers to entry for businesses that may not have the infrastructure or resources to maintain their quantum computers.

Growing service offerings of quantum computing help to boost segment growth over the forecast period. For instance, on March 24, 2023, a Japanese joint research group launched a quantum computing cloud service in the market. The joint research group includes RIKEN, National Institute of Advanced Industrial Science and Technology (AIST), National Institute of Information and Communications Technology (NICT), Osaka University, Fujitsu Limited, Nippon Telegraph and Telephone Corporation (NTT). Together they provide the newly developed technology to the customers in Japan as a cloud service.

Geographical Penetration

Rapid Industrial Growth in North America Helps to Boost Regional Market Growth

North America accounted largest market share 39.12% in the global quantum computing market due to rapid industrial expansion. North America is home to several leading quantum computing companies and startups. The include companies such as IBM, Google, Microsoft, Rigetti Computing and others. The presence of these industry leaders contributes significantly to the overall market share. The companies invested in research and development of quantum computing that helps to boost market growth over the forecast period.

North America attracts a substantial amount of investment and funding in the quantum computing sector. Government initiatives, private investments and venture capital funding contribute to the growth of quantum companies and research activities. Some of the major key players in the region follow merger and acquisition strategies to expand their business. For instance, on August 02, 2023, Airbus, BMW Group and Quantinuum collaborated to develop a hybrid quantum-classical workflow to speed up future research using quantum computers to simulate quantum systems.

Competitive Landscape

The major global players in the market include IBM Corporation, Telstra Corporation Limited, IonQ Inc., Silicon Quantum Computing, Huawei Technologies Co. Ltd., Alphabet Inc., Rigetti & Co Inc., Microsoft Corporation, D-Wave Systems Inc. and Zapata Computing Inc.

COVID-19 Impact Analysis

The pandemic has disrupted research and development activities in the quantum computing sector, especially in terms of laboratory closures, restrictions on physical access to facilities and challenges in conducting experiments. Like many other industries, the quantum computing market has faced supply chain disruptions. Delays in the production and delivery of components and hardware impact timelines for quantum computing projects.

Governments and organizations globally shifted priorities and allocated resources to address immediate health and economic concerns during the pandemic. The has influenced funding and support for long-term research projects, including those in quantum computing. The pandemic highlighted the importance of digital technologies, remote collaboration and advanced computing. The increased focus on digital transformation has led to a growing interest in quantum computing as a potential solution for complex problems.

Russia-Ukraine War Impact Analysis

Geopolitical conflicts lead to global economic uncertainty, which affects investment decisions, funding and the overall business environment. Companies, including those in the quantum computing sector, reassess their strategies and timelines in response to economic uncertainties. Geopolitical tensions and conflicts potentially lead to disruptions in global supply chains. The impacts the availability of certain components or materials crucial for the manufacturing of quantum computing hardware.

Quantum computing is a field that often involves international collaboration and the movement of skilled researchers and scientists. Geopolitical tensions impact research collaborations and the mobility of talent, which influence the pace of advancements in the field. Government support and policies play a significant role in the development of emerging technologies, including quantum computing. Geopolitical events influence government priorities, funding allocations and regulatory environments for quantum research and development.

By Offering
• Hardware
• Software
• Service

By Deployment Type
• On-premises
• Cloud-based

By Technology
• Quantum Dots
• Trapped Ions
• Quantum Annealing

By Application
• Optimization
• Simulation and Data Problems
• Sampling
• Machine Learning
• Others

By End-User
• Banking, Financial Services and Insurance
• Aerospace & Defense
• Manufacturing
• Healthcare
• IT & Telecom
• Energy & Utilities
• Others

By Region
• North America
U.S.
Canada
Mexico
• Europe
Germany
UK
France
Italy
Russia
Rest of Europe
• South America
Brazil
Argentina
Rest of South America
• Asia-Pacific
China
India
Japan
Australia
Rest of Asia-Pacific
• Middle East and Africa

Key Developments
• On November 28, 2022, Tata Consultancy Services launched a virtual quantum computing lab on Amazon Web Services (AWS) to develop and test enterprise business solutions and also accelerate the adoption of quantum computing. It helps to consumers design solutions in areas like portfolio risk evaluation, secure communication ecosystems, predicting customer behavior and production planning.
• On August 15, 2023, StackPath, a leading Quantum Computing platform launched StackPath Edge Compute Virtual Machine and Container instances featuring higher virtual CPU (vCPU) core counts and included RAM.
• On March 21, 2023, NVIDIA, announced a new system to accelerate Quantum-Classical Computing. It has the potential to build extraordinarily powerful applications that combine quantum computing with state-of-the-art classical computing, enabling calibration, control, quantum error correction and hybrid algorithms.

Why Purchase the Report?
• To visualize the global quantum computing market segmentation based on offering, deployment type, technology, application, end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of quantum computing market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global quantum computing market report would provide approximately 77 tables, 85 figures and 208 Pages.

Target Audience 2023
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies