Quantum computing stocks surged on May 22 after the U.S. government announced a $2 billion funding initiative for nine quantum computing companies in exchange for equity stakes. The announcement, funded through the 2022 CHIPS and Science Act, sent D-Wave Quantum soaring 33.54%, Rigetti Computing up 28%, and IBM higher by 4.6%. The funding represents the largest single federal investment in quantum computing and signals that the technology has moved from theoretical research to strategic national priority.
IBM is expected to receive the largest allocation at approximately $1 billion, reflecting its leadership in quantum hardware development through its Heron and Condor processor families. GlobalFoundries is reportedly slated for about $375 million, while most of the other seven companies -- including D-Wave, Rigetti, Infleqtion, and IonQ -- are expected to secure grants of approximately $100 million each. The Commerce Department will manage the program through the CHIPS Program Office.
What happened
The $2 billion quantum funding initiative builds on the CHIPS and Science Act framework that has already directed tens of billions toward semiconductor manufacturing. The quantum allocation targets early-stage technology development, error correction research, and commercial quantum applications in pharmaceuticals, materials science, cryptography, and logistics optimization. The equity-stake structure mirrors the approach used for Intel's foundry investment, where the government takes ownership positions alongside capital infusions.
The announcement catalyzed a massive rally in quantum computing stocks, which had been trading at depressed valuations after the sector's speculative bubble deflated in late 2024. D-Wave's 33.54% single-day gain was its largest since its SPAC debut, while Rigetti's 28% surge brought the stock back above its 200-day moving average for the first time in months. IonQ also traded sharply higher, and several smaller quantum companies saw double-digit percentage gains.