D-Wave Quantum (QBTS) announced it has completed its acquisition of Quantum Circuits Inc., adding a new type of quantum hardware to its business. As a result, D-Wave now offers both annealing and gate-based systems under a single company plan.
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So far, D-Wave has focused on annealing machines that are already in use by paying customers. These systems are built to solve certain problems faster than classic computers, and some have been used in real-world research. Now, the company is adding a second approach that many experts see as key to long-term progress in quantum computing.
D-Wave said the goal is to serve a wider set of customers by offering two types of quantum tools instead of one. The company also said the two platforms are meant to work side by side over time.
Meanwhile, QBTS shares dropped 6.21% on Tuesday, closing at $27.04.
What Quantum Circuits Adds
Quantum Circuits brings a new qubit design that aims to reduce errors, which is one of the main limits in quantum systems today. The company says this design helps keep results stable while still running at high speed.
D-Wave believes this will shorten the time needed to build useful gate-based machines at scale. “By uniquely delivering both best-in-class annealing and gate model technologies, we are setting the pace for the entire industry,” said D-Wave CEO Alan Baratz.
Quantum Circuits co-founder Rob Schoelkopf, who will now serve as chief scientist at D-Wave, said the deal combines D-Wave’s experience with large systems and cooling with a more efficient way to handle errors.
In summary, the acquisition shifts D-Wave toward a broader and more balanced quantum strategy. While large gate-based systems are still years away, the company is positioning itself to stay relevant as the field develops.
Is QBTS a Good Stock to Buy?
On the Street, D-Wave holds a Strong Buy consensus rating. The average QBTS stock price target is $40.23, implying a 48.78% upside from the current price.
