How to build a quantum industry from scratch

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Quantum technology has the potential to shake up many industries. By harnessing the power of quantum physics, computers can store data and perform calculations simultaneously, rather than sequentially, as our current crop of computers do. That can open up opportunities to better sift through big datasets in banking and economics, as well as helping medical researchers identify new drugs or treatments.

At New Scientist’s Emerging Technologies Summit in May, Peter Knight, chair of the UK National Quantum Technology Programme Strategic Advisory Board, spoke about how the UK has built a world-leading quantum industry from scratch over the past 10 years.

Knight highlighted how this could only happen in partnership, rather than from a single entity or industry going it alone. “What we are trying to do in the UK is to build an ecosystem by bringing all the stakeholders in the UK with their own separate budgets, but align those budgets together,” he said.

Those stakeholders include government departments, research councils, national laboratories and security agencies. And the plan is working, said Knight, who outlined some of the key successes of the UK in this exciting new field.

The billion-pound question

“We spent a billion pounds of taxpayers’ money in the last 10 years,” said Knight. “What the hell have we done with it?”

Quite a lot, it turns out. The UK’s quantum industry is first in Europe and third globally for research quality and impact, he said. The country ranks second in the world for the number of quantum companies on its shores, and possesses 11 per cent of the world’s quantum computers. It also does well in attracting private investment, garnering 12 per cent of total investment worldwide.

That is down to successful engagement with industry, he pointed out. The Quantum Challenge, a subsection of the government’s Industrial Strategy Challenge Fund, leveraged public investment to attract private funding. "We spent ￡184 million of taxpayers’ money,” he said, but it was more than matched by industry. Over ￡500 million was invested by companies in Quantum Challenge projects.

Early-mover advantage

Part of the reason industry was so willing to invest was confidence in what the UK was doing on quantum. “We started before anybody else,” said Knight. “We were at the foot of the world's first coordinated, coherent quantum strategic investment. That 10-year lead time has been really important for us.”

That investment is already beginning to bear fruit. Quantum technology can transform many areas, but Knight is particularly enthused about how quantum technology could help functional brain imaging, space-based measurements of Earth, methane emission detection for addressing climate change, communication networks for secure data transmission and underground imaging for urban development.

Of those, Knight feels that one area is likely to be more impactful than most. “Healthcare is an immediate win for quantum technologies,” he said.

Planning for success

Speed of change is something that can interest both the public and private sectors, Knight believes, and can help generate a viable quantum industry to be proud of. But some caution is needed – alongside some realism.

“There's an awful lot of crap out there about quantum technology,” he said. “The realistic state that we're in is actually transformative. But let's not get carried away with nonsense.” While quantum could be a gamechanger in a number of areas, Knight is keen for industry and researchers alike to focus on the more near-term potential use cases for the technology, rather than dabbling in the realm of sci-fi.

Of course, that is easier said than done, especially when considering the money involved. “Our big challenge is patient investment, to see the return and to see things grow and scale in the UK.”

One way to help that was the publication of the National Quantum Strategy in 2023, which committed ￡2.5 billion more to the cause. It was a decision Knight welcomed. “We need to be bold on that one, because some of these things are hard,” he said. “They're not easy, but we can see where to go.”