Sydney quantum computing hardware manufacturer Silicon Quantum Computing (SQC) has closed a scaled back $50.4 million Series A capital raising to fund the manufacture of the world’s first scalable, error corrected quantum computer.
The investors in the latest round are the Commonwealth Government and institutions including the Commonwealth Bank of Australia (CBA), Telstra and the University of New South Wales (UNSW).
The Series A round was priced at $1.75 per share, taking SQC’s valuation to $195.3 million, up from a previous valuation of $82.8 million.
The uplift signals confidence in the company’s technical and commercial roadmap, according to SQC.
SQC CEO Michelle Simmons said: “SQC has a globally unique technology to manufacture processors with atomic precision, and this approach to building a quantum computer has many advantages over our multinational competitors.
“History has shown that emerging technology ecosystems cluster around organisations that manufacture.
“Backed by this funding and our team of incredibly talented physicists and engineers from around the world, SQC is well placed to become a central hardware manufacturing hub for the quantum computing industry, both in Australia and globally.”
SQC raised $83 million seed capital in 2017, and launched a $130m Series A capital raising in June, 2022.
In terms of the overall size of SQC’s raise SQC Chair Stephen Menzies said: “We are happy to achieve an up-round in such a tight funding environment.
“In periods where capital is expensive, we see it as advantageous to defer a bigger raise.”
The federal government released its National Quantum Strategy in May 2023, alongside the updated List of Critical Technologies in the National Interest, in which quantum technologies is a priority field.
According to CSIRO, quantum computing is projected to be a $6 billion opportunity for Australia, and create 19,400 jobs over the next two decades.
Group Executive Product & Technology at Telstra Kim Krogh Andersen said the company was a big believer in the potential of quantum computing to transform industries and solve some of world’s problems.
“This potential and our belief in Michelle Simmons and the SQC team is why we’re a foundation investor and continue to support the innovative work they’re doing.”
Picture: Silicon Quantum Computing team