Since November, the hottest concept in US stocks: quantum computing

Good news keeps coming, and quantum computing companies' stock prices are skyrocketing!

Recently, the quantum computing concept has become hot, with leading US quantum computing stocks doubling in price, particularly outstanding last week. D-Wave Quantum surged 74% in a week, Rigetti Computing rose 78%, Quantum Computing's stock price more than doubled, and Quantum soared 523%.

From November to Tuesday's US stock market close, Quantum Computing rose 588%, Quantum increased 405%, D-Wave Quantum rose 173%, and Rigetti Computing rose 108%.

Good news keeps coming

On the news front, there are continuous positive developments in the industry.

One major catalyst is that tech giants are increasing their R&D investment and application expansion in the field of quantum computing.

Last Friday, Amazon's cloud computing platform AWS announced the launch of the Quantum Embark program, aimed at helping businesses prepare for the quantum computing era. This program, provided by Amazon Labs, includes three standard modules: use case discovery, technology enablement, and in-depth analysis.

According to Western Securities, AWS previously offered quantum computing services through Amazon Braket, allowing experienced customers to access various quantum hardware in a one-stop manner by paying based on actual usage; the new Quantum Embark program adds consulting services to provide technical guidance for novice customers.

Not only Amazon, but giants are also competing, with NVIDIA and Google joining forces. On November 19, NVIDIA announced a collaboration with Google's quantum AI team "Google Quantum AI." In the statement, NVIDIA mentioned that Google can use 1024 Hopper Tensor Core GPUs on the Eos supercomputer at a very low cost to perform the world's largest and fastest dynamic simulations of quantum devices using the CUDA-Q platform.

On the other hand, the positive performance of quantum computing companies boosts market confidence.

IonQ's revenue exceeded expectations. On November 6, the leading US ion trap quantum computing company IonQ announced better-than-expected Q3 revenue and performance guidance, along with several new collaboration projects, including integrating quantum computing into the multi-billion dollar CAE operations in partnership with Ansys, collaborating with NKT Photonics, a subsidiary of Hamamatsu Photonics, to procure next-generation laser systems for capturing ion quantum computers and network devices, and providing quantum solutions for Airbus and Hyundai.

Quantum has surpassed the breakeven point, with the latest financial report showing that Quantum's adjusted EBITDA reached breakeven in the second fiscal quarter, and non-GAAP operating expenses have been reduced by 9%.

Additionally, Rigetti successfully raised $100 million. On November 25, Rigetti Computing announced the successful completion of a $100 million stock issuance plan

$850 Billion Large Market

According to Western Securities, quantum computing is a revolutionary technology that may trigger changes in key technological fields and holds a high strategic position:

Quantum computing has the potential to disrupt traditional computing models and may lead a new technological revolution. The core advantage of quantum computing lies in its basic unit of information processing—the quantum bit. Unlike classical bits, quantum bits can represent both 0 and 1 states simultaneously. This unique property allows quantum computers to surpass traditional computers at an exponential speed when handling certain highly challenging specific tasks, and it is expected to bring about changes in key areas such as materials science, drug design, optimization problems, and artificial intelligence.

As a cutting-edge technology, quantum computing holds a high strategic position. In September, the U.S. Department of Commerce's Bureau of Industry and Security released a new regulation on export controls, adding 18 new Export Control Classification Numbers (ECCN) to the commercial control list, 11 of which are related to quantum computing technology, reflecting the importance of quantum computing in national security and technological innovation.

Analysis suggests that while the significant potential of quantum computing is now recognized, no one knows for sure whether, when, or how quantum computing will create value. IonQ predicts that by 2030, the quantum computing market will grow to $65 billion, and by 2040, it will rise to $850 billion.