A quantum leap of faith

The tech phenomenon that's as big a game-changer for humanity as AI or the internet

Hello Rainmakers,

An essential new sector that is prime for investment, or a quantum leap of faith? Robert Buckland looks at the tech phenomenon that has been called as much of a game-changer for humanity as AI or the internet.

Here at Rainmakers we’re always keen to keep abreast of the latest tech trends – even if we don’t fully understand what’s going on inside all these new gizmos and gadgets.

With Deeptech emerging as a huge growth area, we’ve been taking a look at one aspect of it - quantum computing - an area in which the UK is already a serious global player and which is also offering up major opportunities for investment.

What’s more, the UK government has recognised the importance of developing a thriving domestic quantum computing ecosystem and has pledged to invest £670m to accelerate the development and adoption of quantum technologies.

You can understand why, when – as we’ve seen countless times over the years – homegrown businesses in the sector, along with their IP, are continually being snapped up by overseas buyers.

Two of our most innovative firms have gone down that well-trodden path recently - Oxford Ionics was acquired by US quantum computing hardware and software company IonQ for just over $1bn (£740,000) while NanoScience, the quantum arm of Oxford Instruments, was taken over by US firm Quantum Design for £60m.

According to analysts, these deals demonstrate the need for public funding for UK firms operating in what they described as a “vulnerable” sector.

In a while we’ll tell you about one business, Phasecraft, which has attracted serious private investment, securing $34m (£25m) in a series B round.

But first, what is quantum computing?