US government takes $2 billion equity stake in nine quantum computing firms

In a significant move to bolster the nation's quantum technology sector, the US government has announced a $2 billion equity investment in a variety of quantum computing companies. This initiative includes partnerships with nine firms, notably featuring a start-up associated with a company linked to the Trump family, as well as another firm taken public by a Pentagon official. The announcement from the Commerce Department has led to a surge in stock prices for several quantum specialists. Shares of IBM, which is set to receive a substantial $1 billion, and GlobalFoundries, slated for $375 million, both rose over 6% in pre-market trading on Thursday. D-Wave Quantum, a company that went public in 2022 under the guidance of Emil Michael, a high-ranking Pentagon official, saw its stock jump by more than 20%. PsiQuantum, another recipient of the funding, is expected to receive $100 million, marking its largest government award to date. Last year, the company attracted investments from a group including 1789 Capital, the venture capital firm where Donald Trump Jr. serves as a partner. However, a representative from PsiQuantum clarified that 1789 is only a passive minority investor without any role in operational decisions. A spokesperson for Trump Jr. emphasized that he had no part in the negotiations concerning government contracts for 1789's portfolio companies. Additional companies that will each receive $100 million include Atom Computing, Infleqtion, Quantinuum, and Rigetti. The start-up Diraq is also set to benefit, with a potential award of up to $38 million. US Commerce Secretary Howard Lutnick hailed the investment, stating, "With today’s CHIPS Research and Development investments in quantum computing, the Trump administration is leading the world into a new era of American innovation."