PsiQuantum Raises $750M in Bid to Build 1 Million-Qubit Computer

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PsiQuantum has secured $750 million in new funding, pushing its valuation to $6 billion, as it moves closer to building the world’s first utility-scale quantum computer. The company is betting on photonic quantum computing, a less common architecture that uses photons instead of electrons or ions. The approach promises greater scalability, better integration with existing semiconductor manufacturing, and long-term cost advantages.

Founded in 2016 and based in Palo Alto, PsiQuantum has positioned itself apart from competitors like IBM and IonQ by focusing on silicon photonics. Its quantum chips are built using standard CMOS processes, allowing them to be manufactured at scale using commercial foundries.

Silicon Photonics as a Scalable Pathway

At the center of its roadmap is a million-qubit quantum system, which PsiQuantum argues is the threshold for achieving practical quantum advantage. Rather than releasing early-stage systems with limited capabilities, the company is aiming directly at large-scale, error-corrected quantum computing. Its plan is ambitious, with delivery targeted before 2030.

The new funding will support the construction of a dedicated facility in Brisbane, Australia, where PsiQuantum is partnering with the federal and Queensland governments. The site will support end-to-end development of quantum hardware, including photonic chips, cryogenic systems, and classical controls.

This public-private collaboration is part of a broader shift. As other quantum startups focus on shorter-term gains, PsiQuantum is prioritizing long-term engineering discipline, manufacturing integration, and system modularity. Investors have responded with one of the largest private raises in the sector to date, reflecting confidence in the company’s execution and scale-focused roadmap.

The broader context includes renewed interest in quantum computing after a cooling-off period in 2023. While many companies struggled with timelines and technical complexity, investor sentiment has since shifted back toward deep tech and foundational infrastructure. PsiQuantum’s raise is the latest signal that quantum computing is no longer viewed purely as speculative science, but as a potential driver of industrial transformation.

The $750 million raised comes from a mix of institutional investors, sovereign wealth entities, and venture firms with deep tech portfolios. Existing backers such as BlackRock and Baillie Gifford are reported to be participating, while new entrants include funds with an interest in infrastructure-aligned compute platforms.

Other companies in the sector are also attracting capital, but rarely at the scale PsiQuantum is now commanding. IonQ continues to invest in fault-tolerant systems with defense applications. D-Wave is focused on annealing-based optimization. Quantinuum is advancing algorithm development tied to its trapped-ion platform.

If successful, PsiQuantum’s system could support applications in drug discovery, energy modeling, and logistics optimization — areas where classical supercomputers struggle with complexity and precision. A million-qubit machine could simulate chemical interactions, model complex energy systems, and optimize global networks in ways classical computers cannot. The path remains complex, but the direction is clear: scalable, fault-tolerant quantum systems are no longer theoretical milestones.

Sources:

• Reuters