How Quantum Computing is Shaping the Future of Cloud Infrastructure
Quantum computing, though still nascent, holds transformative potential for a multitude of industries. In my research, I explore its long-term impact on cloud infrastructure, addressing key questions such as how quantum computing might alter the requirements for cloud providers and whether “quantum cloud” services will emerge.
I also examine which companies are currently investing in this technology, highlighting both the promising opportunities and the inherent risks for investors. Through a forward-looking analysis, my article provides insights into the compelling prospects for those looking to invest in this burgeoning field.
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Key Points
Quantum Computing Industry: A Snapshot of Exponential Growth
The quantum computing industry is witnessing remarkable growth fueled by technological innovations and heightened investments. In 2023, the industry’s valuation was approximately $885.4 million. By the close of 2024, it expanded to $1.16 billion, and projections for the end of 2025 suggest an increase to $2.1 billion. The industry is expected to surge to $24.5 billion by 2034, reflecting a compound annual growth rate (CAGR) of 31.4% from 2025 to 2034, as per the U.S. Data Analytics report.
Global Market Size of the Quantum Computing Industry, 2025-2034
North America holds the distinction of being the largest market for quantum computing. By the end of 2024, its market size was estimated at $1.02 billion, accounting for nearly 87.9% of the global market. The year 2024 saw significant investments in North America, with venture capital contributing over $2.4 billion. Globally, total investments in the quantum computing sector reached $49 billion in 2024, underscoring the industry’s expanding financial backing.
In 2025, several government initiatives are supporting investments in the quantum computing industry:
United States: The?National Quantum Initiative (NQI)?continues to be a major driver. The NQI Act, signed into law in 2018, coordinates federal efforts to accelerate quantum research and development. The FY 2025 budget includes substantial funding for quantum information science (QIS) across multiple agencies, including the National Institute of Standards and Technology (NIST), the National Science Foundation (NSF), the Department of Energy (DOE), and the Department of Defense (DOD). On January 16, 2025, the U.S. Department of Energy unveiled a $71 million funding initiative aimed at 25 high-energy physics projects that leverage quantum information science technologies to explore fundamental cosmic questions. This funding will help advance theories related to gravity and spacetime, create quantum sensors capable of detecting previously unobservable signals, and launch preliminary experiments to enhance discovery efforts in the search for dark matter and other new particles and phenomena. These projects were chosen through a competitive peer review process under the DOE Funding Opportunity Announcement for Quantum Information Science Enabled Discovery 2.0 (QuantISED 2.0).
The day prior, on January 15, 2025, the U.S. Department of Energy’s Office of Science announced the availability of $625 million to support National Quantum Information Science Research Centers. These centers, which involve multi-institutional and multidisciplinary collaboration, will drive transformational progress in fundamental science and quantum-based technology platforms, aligning with the objectives of the National Quantum Initiative Act. Each center will incorporate various levels of innovation, combining fundamental research, engineering, and technology development within a co-design framework. The centers aim to deliver prototype technology platforms, capabilities, and significant scientific advancements that can eventually be transformed into resources or user-facility capabilities for the entire Quantum Information Science R&D community.
European Union: The?Quantum Technologies Flagship?is a significant initiative, with a budget of approximately €1 billion over ten years. This program aims to consolidate and expand European scientific leadership and excellence in quantum technologies, turning results into commercial applications. In September 2024, the EU announced a €65 million funding program for quantum chips. This was part of the €200 million EU investment in quantum chips envisaged under the Chips JU over the next three years.?The Chips Joint Undertaking (Chips JU) announced the €65 million funding recipients in January 2025. The funding was awarded to several European companies and consortia to support semiconductor research and innovation. Some of the notable recipients include:
China: China continues to invest heavily in quantum computing through its?National Laboratory for Quantum Information Sciences?and other initiatives. The government has committed billions of dollars to advance its capabilities in quantum communication, computing, and sensing.
Canada: The?National Quantum Strategy?in Canada focuses on advancing quantum research, fostering talent, and promoting commercialization. The government has allocated significant funding to support these goals.
Strategic Investments in Quantum Computing (2025-2030)
From 2025 to 2030, strategic investments in quantum computing are fueled by a combination of technological, commercial, and security imperatives.
Several sectors are set to reap significant benefits from quantum computing during this period:
The Promising Future of Quantum Computing: An Investment Perspective
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