Insider Brief
- Quantinuum, backed by Honeywell, is weighing a new fundraising round that could value the company at $10 billion, Bloomberg reported.
- Nvidia has been approached as a potential investor, while Quanta Computer has already invested $50 million for a 0.49% stake, according to Bloomberg and The Quantum Insider.
- The company’s valuation has doubled in about 18 months as investors bet on its dual hardware-software strategy in quantum computing, though technical and market hurdles remain.
Quantinuum Ltd., the quantum computing company backed by Honeywell International Inc., is weighing a fresh capital raise that could value the firm at around $10 billion, according to an article in Bloomberg. The fundraising discussions, which Bloomberg reported involve existing investors and potential new backers, are expected to target several hundred million dollars.
NVIDIA Corp., currently the world’s largest company by market valuation, is among the companies approached, though deliberations are ongoing and no final agreement has been reached, Bloomberg reported.
The push comes as the quantum sector continues to attract significant investor attention and as companies grow more confident that the devices can deliver commercial payoffs.
Quantinuum, created in 2021 from the merger of Honeywell Quantum Solutions and Cambridge Quantum, develops quantum hardware and software designed to solve problems that classical computers cannot. The company’s research and applications span chemistry, machine learning and cybersecurity, as Bloomberg emphasizes in the article.
Valuation Doubled
Quantinuum’s valuation has already doubled in about 18 months. In February 2024, the company raised $300 million in a funding round led by JPMorgan Chase & Co., giving it a pre-money valuation of $5 billion. At that time, other participants included Mitsui & Co. and Amgen. The company now employs more than 500 people across the U.S., U.K., Germany and Japan.
The Quantum Insider separately reported last week that Quanta Computer Inc., the Taiwan-based electronics manufacturer, approved a $50 million investment in Quantinuum. According to the article, Quanta’s board signed off on the purchase of nearly 1.9 million Series B preferred shares at $26.77 each on Aug. 12. The investment, which uses the company’s own capital, represents about 0.49% ownership of Quantinuum on a fully diluted basis.
The Quantum Insider added that the $26.77 per share price reflects a $10 billion valuation for Quantinuum. Financial filings and sources from the investment community indicated that the broader Series B round could total about $400 million.
‘One of The Industry’s Most Closely Watched Players’
Quantinuum’s dual track of hardware and software development has made it one of the industry’s most closely watched players. Bloomberg highlighted its leadership and its focus on building quantum computers capable of handling complex calculations beyond the reach of traditional systems.
Honeywell’s role in Quantinuum remains central. The industrial conglomerate has announced plans to split into separate publicly traded companies focused on aerospace, automation and advanced materials. Bloomberg said those moves could eventually influence Honeywell’s relationship with its quantum subsidiary.
Uncertainties still remain in the quantum industry. Investor interest has been strong, but the technology still faces technical challenges and market adoption hurdles. However, this reported valuation leap from $5 billion to $10 billion in a year an a half reflects growing confidence in the ultimate goal for Quantinuum and other companies that hope to tap the technology: that quantum computing is shifting from research labs into commercial strategy.
