Quantum Computing Stocks Skyrocket Amidst Rumors of Trump Administration Investments
Quantum computing stocks experienced a significant surge on Thursday, following reports that the Trump administration is considering equity stakes in several companies in return for federal funding. Companies such as IonQ, Rigetti Computing, D-Wave Quantum, and Quantum Computing witnessed trading gains ranging from 7% to 16%.
The Wall Street Journal reported that these companies are in discussions for a minimum funding award of $10 million each from the Commerce Department’s Chips Research and Development Office. However, a Commerce Department official later refuted these claims, stating emphatically, “We are not currently negotiating equity stakes with quantum computing companies.“
Despite this denial, stocks continued to rally. Investors interpreted the word “currently” as an indication of potential future discussions. It’s worth noting that the Trump administration has previously taken stakes in strategic companies, including Intel and MP Materials, as part of national security initiatives.
Quantum computing is considered crucial for maintaining U.S. technological dominance against competitors like China. Although the sector generated less than $750 million in revenue in 2024, it holds massive future potential. Fields such as medicine, finance, and cybersecurity could greatly benefit from advancements in quantum computing.
Source: Yahoo Finance