Amid the current market storm, some good news for quantum computing firms Rigetti Computing (RGTI) and IonQ (IONQ).
The two companies, along with Quantinuum that is owned by Honeywell International (HON), have been selected by the U.S. government to participate in a multi-year program assessing the viability of quantum computing. The Defense Advanced Research Projects Agency (DARPA), a research arm of the U.S. Department of Defense, unveiled the 15 finalists for its Quantum Benchmarking Initiative.
Other companies chosen to participate in the benchmarking program include more established technology companies such as IBM (IBM) and Hewlett Packard Enterprise (HPE). The program’s goal is to determine whether any quantum-computing approach can achieve utility-scale operations by 2033, and if it is economically viable to scale quantum computing technology.
Quantum Architectures
As part of the initiative, DARPA will examine a variety of quantum architectures, including trapped-ion systems and superconducting qubits. In 2024, the government agency said it aims to move quantum computing “from hype to prototype.” The project is particularly significant for Rigetti as the company moves from its current research and development phase to scaling its technology.
The launch of DARPA’s Quantum Benchmarking Initiative comes amid a heated debate among scientists, technology leaders, and analysts over the future viability of quantum computing. Nvidia (NVDA) CEO Jensen Huang courted controversy earlier this year when he said that viable quantum computers were more than a decade away from becoming a reality, remarks he has since retracted.
Is IONQ Stock a Buy?
The stock of IonQ has a consensus Moderate Buy rating among six Wall Street analysts. That rating is based on four Buy and two Hold recommendations assigned in the last three months. The average IONQ price target of $41.60 implies 102.63% upside from current levels.
