Insider Brief
- BT is calling for greater collaboration across the quantum supply chain to advance adoption and commercialize quantum technologies.
- Gabriela Styf Sjöman of BT emphasized the need for public-private partnerships, expanded industry involvement, and supportive policies to overcome barriers to quantum adoption.
- BT’s initiatives include a QKD-secured metro network with Toshiba, a quantum-protected VPN with Arqit Quantum and Fortinet, and participation in government-backed research projects.
BT, one of the UK’s leading telecommunications firms, is urging increased collaboration across the quantum technology supply chain as it seeks to expand its role in this emerging sector, Telco Titans reports.
Gabriela Styf Sjöman, Managing Director for Research & Networks Strategy at BT, highlighted the need for more public-private partnerships and a broader network of technology and adoption partners during a recent Westminster eForum webinar on quantum technologies.
“Telecom is a key foundation for scaling quantum,” said Styf Sjöman, as reported by Telco Titans. “And this is why we’ve been committed in the past years, and probably even more so now when the technology is maturing and accelerating at a fast pace. However, we need more. We need more technology and research partners in BT. We need more adoption partners, an ecosystem.”
Styf Sjöman added success will require researchers and industry working together.
“Its not enough to just work with research, we need to work with industry who will be adopting — we need to understand the use case and we’ll also need to understand what are the barriers for the private sector to adopt this technology.” Styf Sjöman said, as reported by Telco Titans. “And we also need commercialisation partners.”
Research and development consortia, like UKQuantum, co-founded by BT, can also help by acting as the quantum industry’s collective voice.
Building Quantum for Networks and Networks for Quantum
BT’s dual approach to quantum involves building a “network for quantum” while adopting “quantum for networks.”
This strategy includes efforts to integrate quantum technologies into existing telecom infrastructure and leverage these innovations for enhanced network security and efficiency. For example, BT’s metro quantum network, developed with Toshiba, supports secure communications using Quantum Key Distribution (QKD), a technology that encrypts data using quantum mechanics to prevent eavesdropping.
This network has attracted clients such as HSBC, which uses it to explore post-quantum cryptography for financial transactions, including tokenized gold trading, among other potential financial use cases.
HSBC’s quantum technology program is focused on mitigating risks from quantum-enabled cyber threats while preparing for future computational capabilities, according to Philip Intallura, HSBC’s Head of Quantum Technologies, as reported by Telco Titans. The group has done quite a lot of work, including FX trade simulations and quantum-safe migration strategies, Intallura said.
Intallura added that HSBC has a dedicated team of specialists based in both the UK and Singapore who work closely with the bank’s cybersecurity team to examine potential quantum risks and opportunities.
Policy and Funding Challenges
The UK government’s approach to quantum policy and funding has come under scrutiny. The National Quantum Strategy, announced in 2023 with a £2.5 billion budget to make the UK a leader in quantum technologies, has faced setbacks. In August 2024, the Labour government reduced funding for deep tech projects, including quantum, by £1.3 billion. Despite these cuts, some initiatives remain active, such as a tender for “quantum-enabled products and services” for the National Health Service.
Styf Sjöman called for stronger public sector engagement, particularly in crafting policies that encourage adoption and commercialization. She pointed to financial services and government as the most promising early adopters of quantum-secure communications.
“You also need to have policies that encourage the development that lays the foundation for the development, the commercialisation, and the adoption of this, ” Styf Sjöman said.
Private Sector Momentum
BT’s efforts are part of a broader push by the private sector to advance quantum technologies. The company has been involved in multiple initiatives, including quantum-protected virtual private networks developed with partners like Arqit Quantum and Fortinet. In addition, BT is collaborating on government-subsidized research through the National Quantum Technologies Programme, which has provided £33 million in grants for quantum projects.
These collaborations aim to tackle the technical and commercial barriers to quantum adoption, from manufacturing specialized components to identifying viable use cases. The industry faces a significant challenge in building a robust supply chain capable of supporting the development and deployment of quantum systems.
Telco Titans reports that BT is advancing its quantum strategy through several key initiatives aimed at integrating and commercializing quantum technologies. The company has onboarded HSBC and Ernst & Young as customers on a quantum-secured metro network, developed with Toshiba, which uses Quantum Key Distribution (QKD) for ultra-secure communications. This network, launched in 2021, represents what Chief Security & Networks Officer Howard Watson called the “next era of network security.”
In December 2023, BT partnered with Arqit Quantum and Fortinet to commercially launch a quantum-protected virtual private network. This followed successful trials of “quantum-safe tunnels” connecting BT sites in Exeter, London, and Suffolk. Additionally, the company has worked on quantum timing and sensing applications as part of the European IQClock consortium.
Quantum security remains a focus, with BT conducting R&D on QKD in collaboration with partners such as ADVA, ID Quantique, and Toshiba. These efforts aim to position quantum technologies as integral to “ultra-secure” networks, including those utilized by HSBC and EY.
BT also participates in government-subsidized programs, as part of its commitment to quantum innovation. Through the UK Research and Innovation-backed National Quantum Technologies Programme, the company has partnered on eight projects, securing £33 million in grants to drive forward the development and adoption of quantum technologies.
Westminster eForum will host Next Steps For Quantum Technologies in the UK – Regulation, Policy and Growth in February, 2025. Keynotes will include: Josh Fedder, Deputy Head, Office for Quantum, DSIT; Stephen Almond, Executive Director, Regulatory Risk, ICO; Roger McKinlay, Challenge Director, Quantum Technologies, Innovate UK, UKRI; Jeremy B, Principal Technical Director, Cryptography and High Threat Technologies, NCSC; Dr Mike Short, Chief Architect, Satellite Applications Catapult; and former Chief Scientific Advisor, DBT; and Cat Mora, Director, Research Operations, Phasecraft.