TLDR
- Trump administration negotiating equity stakes in quantum computing firms IonQ, Rigetti Computing, D-Wave Quantum, Quantum Computing, and Atom Computing
- Companies would receive at least $10 million in federal funding in exchange for government shares
- Quantum stocks jumped in premarket trading: D-Wave up 14%, IonQ up 13%, Rigetti up 11%
- Deputy Commerce Secretary Paul Dabbar leading negotiations with quantum computing industry
- Commerce Department official denies current negotiations despite Wall Street Journal report
The Trump administration is pursuing equity stakes in multiple quantum computing companies as part of a federal funding initiative. The Wall Street Journal reported Wednesday that IonQ, Rigetti Computing, and D-Wave Quantum are in discussions to grant shares to the U.S. government.
The proposed deals would provide each company with minimum funding awards of $10 million from Washington. In return, the Commerce Department would become a shareholder in these quantum computing firms. Quantum Computing and Atom Computing are also exploring similar arrangements.
Stock prices for quantum computing companies surged in premarket trading Thursday. D-Wave Quantum shares climbed 14% while IonQ gained 13%. Rigetti Computing rose 11% and Quantum Computing increased 13% on the news.
Reuters attempted to verify the Wall Street Journal report but received conflicting information. A U.S. Commerce Department official stated the department is not currently negotiating with any of the companies. IonQ declined to comment and other firms did not respond to media requests.
Deputy Commerce Secretary Leads Negotiations
U.S. Deputy Commerce Secretary Paul Dabbar is spearheading the funding discussions with quantum computing companies. Dabbar brings industry experience to the role, having previously worked as a quantum computing executive. He also served in the Energy Department before his current position.
The potential quantum computing investments align with recent government intervention in corporate America. Earlier in 2025, Trump announced the U.S. would take a 10% stake in Intel by converting government grants into equity shares.
The Pentagon became the largest shareholder in MP Materials through a separate deal focused on rare earth magnet production. The U.S. government also secured a golden share with veto rights in the Nippon Steel acquisition of U.S. Steel.
Understanding Quantum Computing Technology
Quantum computers operate using qubits that can exist in multiple states at once. This capability allows quantum systems to process data faster than traditional binary computers. The technology promises advances in computing power for complex calculations.
The field faces technical challenges that limit widespread adoption. Qubits are extremely sensitive to environmental disturbances, leading to high error rates during operations. Scientists and engineers continue working to overcome these stability issues.
Major technology companies have made recent progress in quantum computing development. Microsoft unveiled a new chip in February, stating quantum computing is years away rather than decades. Google and IBM have made similar predictions about the timeline for practical quantum computing applications.
The quantum computing companies in funding discussions represent different approaches to the technology. Each firm is developing systems aimed at specific commercial and research applications. The federal funding would support continued development of their quantum computing platforms.
The government equity stake strategy extends Trump administration involvement in technology sector investments. These deals aim to support U.S. companies developing emerging technologies. The quantum computing negotiations represent the latest effort to maintain American competitiveness in advanced computing fields.
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