Quantum Leap: Arqit Quantum taps former Intel executive as CTO

Welcome to the latest edition of “Quantum Leap” where The Fly decodes news and activity in the quantum computing space. 

NEW CTO: Arqit Quantum (ARQQ) announces the appointment of Jonathan Nguyen-Duy as chief technology officer. He joins Arqit with an extensive background in cybersecurity in both the enterprise and federal sectors. Prior to joining Arqit, Jonathan held senior technical leadership roles at Intel (INTC) and Fortinet (FTNT) where he led teams in developing security technologies.

INTELLIAN MOU: IonQ (IONQ) announced that it has signed a memorandum of understanding with Intellian Technologies to explore how secure quantum networking can transform satellite communications. This memorandum furthers IonQ’s work in strategically partnering across South Korea’s enterprise, government, and academic sectors and launching initiatives seeking to advance their quantum economy. Intellian is a leading satellite and marine radio, terminal and antenna company headquartered in Pyeongtaek, South Korea. As a global partner to more network operators than any other manufacturer, Intellian’s hardware is critical for enabling satellite network connectivity around the world. This announcement underscores Intellian’s ongoing commitment to advancing satellite communication technologies. This non-binding memorandum with Intellian advances IonQ’s vision and marks a key step toward the future of quantum-enabled satellite communications.

INVESTMENT: Sealsq (LAES) announced that its strategic investment in Wecan Group, is accompanied by a major technological integration that aligns two compliance technologies: WISeID, the digital identity platform developed by Sealsq’s parent company, WISeKey International (WKEY), a global cybersecurity, blockchain, and IoT company, and Wecan Comply, WecanGroup’s decentralized compliance and data vaulting solution. Of note, earlier this year, Sealsq entered into a strategic agreement under which Sealsq will acquire a 30% equity stake in Wecan Group.

JAPAN MOU: IonQ announced the signing of a memorandum of understanding with the Global Research and Development Center for Business by Quantum-AI Technology, a division of one of the largest public research organizations in Japan, the National Institute of Advanced Industrial Science and Technology. This memorandum facilitates cooperation between IonQ and G-QuAT intended to advance quantum computing technologies in Japan. G-QuAT is AIST’s initiative focused on developing advanced hybrid-quantum computing technologies with artificial intelligence, and aims to advance quantum research and development, accelerate real-world use cases and build a global quantum business ecosystem. The intent of this MOU is for G-QuAT and IonQ to work together to facilitate G-QuAT prospectively obtaining access to IonQ Forte-class quantum computers through the IonQ Cloud that supports collaborative research, development, and innovation. This MOU reflects both companies’ shared vision to accelerate the development and adoption of quantum technologies in Japan’s research and technology industries.

CRYPTOGRAPHY: Arqit Quantum announces RSG Telecom has signed a test and integration license for Arqit’s NetworkSecure to bring symmetric key cryptography technology to secure both its public and private sector networks. The collaboration will see Arqit’s NetworkSecure quantum-safe encryption solution deployed across RSG telecom infrastructures, enhancing data protection in the face of increasingly sophisticated cyber threats. Andy Leaver, CEO Arqit, commented: “Today’s cyber landscape is more complex and dynamic than ever before. By implementing Arqit’s NetworkSecure RSG is safeguarding their partners and customers from the next wave of cyber threats, ensuring the confidentiality and integrity of their customers’ communications.”

ANALYST COMMENTARY: DA Davidson lowered the firm’s price target on IonQ to $35 from $50 and keeps a Buy rating on the shares as part of a broader research note updating estimates within the firm’s coverage of the Software group. The firm is now assuming a base case of one or two quarters of negative GDP in the US this year, which will translate to lower growth and has already translated to lower valuations, the analyst told investors in a research note. DA Davidson added that regardless of how the current tariff regime plays out, it sees a slowdown in consumer activity and corporate investment, at least for the next couple of quarters.