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Quantum Chip Market

Quantum Chip Market

The market for Quantum Chip was estimated at $1.08 billion in 2024; it is anticipated to increase to $6.3 billion by 2030, with projections indicating growth to around $27.0 billion by 2035.

Report ID:DS1201009
Author:Chandra Mohan - Sr. Industry Consultant
Published Date:March 2025
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Report Summary
Table of Contents
Methodology
Market Data

Global Quantum Chip Market Outlook

Revenue, 2024 (US$B)

$1.1B

Forecast, 2034 (US$B)

$20.2B

CAGR, 2024 - 2034

34%
The Quantum Chip industry revenue is expected to be around $1.4 billion in 2025 and expected to showcase growth with 34% CAGR between 2025 and 2034.

Quantum chips signify an advancement in the realm of computing technology and have the potential to transform various industries by tackling intricate challenges that classical computers struggle to address effectively. By the year 2024 the market for quantum chips had already achieved a value of around USD 1.1 billion and is projected to expand to USD 6.25 billion by 2030 and potentially even reach USD 27 billion by the year 2035. This growth trajectory showcases a remarkable Compound Annual Growth Rate (CAGR) of 34%, primarily fueled by progress in quantum technology, increase R&D investment and the rising demand, for cutting edge computing solutions.

Quantum processors use the rules of quantum physics to perform calculations using qubits that can be in states at once—a distinction from traditional bits that are limited to a single state at a time. This special ability makes quantum processors well suited for tasks in encryption, AI and intricate simulations. As a part of quantum computing qubit technologies, like superconductors and trapped ions offer distinct benefits in terms of speed,stability and scalability influencing their development and potential applications.

quantum chip market outlook with forecast trends, drivers, opportunities, supply chain, and competition 2024-2034

Market Key Insights

  • The Quantum Chip market is projected to grow from $1.1 billion in 2024 to $20.2 billion in 2034. This represents a CAGR of 34%, reflecting rising demand across Quantum Computing, Quantum Cryptography and Quantum Sensing.
  • IBM, Google, Intel are among the leading players in this market, shaping its competitive landscape.
  • U.S. and China are the top markets within the Quantum Chip market and are expected to observe the growth CAGR of 32.6% to 47.6% between 2024 and 2030.
  • Emerging markets including South Korea, Israel and Australia are expected to observe highest growth with CAGR ranging between 25.5% to 35.4%.
  • Transition like Shift to Quantum as a Service (QaaS) is expected to add $2.8 billion to the Quantum Chip market growth by 2030
  • The Quantum Chip market is set to add $19.1 billion between 2024 and 2034, with manufacturer targeting Quantum Processing Unit & Quantum Control Electronics Component projected to gain a larger market share.
  • With Rapid advancements in quantum research, and Demand for enhanced computing power, Quantum Chip market to expand 1767% between 2024 and 2034.
quantum chip market size with pie charts of major and emerging country share, CAGR, trends for 2025 and 2032

Opportunities in the Quantum Chip

Blending quantum and classical systems can offer advantages by enabling quantum technology to address real world issues sooner, than the full realization of quantum computers.

Growth Opportunities in North America and Asia-Pacific

North America Outlook

In the realm of quantum chips market growth in North America takes the lead as significant investments in research and development are made by players such as IBM and Google pushing progress forward. The U.S. government also backs quantum technology through financial support and policy efforts.

Asia-Pacific Outlook

Asia Pacific is seeing progress in the field of quantum research with a notable focus in China where significant investments are being made in quantum technology to stay ahead in competition. Businesses such as Alibaba and Toshiba are broadening their efforts, in developing quantum chips to cater to the needs of the region.

Market Dynamics and Supply Chain

01

Driver: Rapid Advancements in Quantum Research, and Growing Interest in Quantum-Safe Cryptography

The rise in research & development funding, for quantum technology is also propelling the progress of quantum chips and speeding up innovation and practical use. Given the increasing worries regarding cybersecurity issues nowadays there is also a focus on quantum chips to facilitate quantum safe encryption that offers high resistance, against hacking attempts.
Quantum processors are also in demand due to their capacity to carry out calculations that surpass the limits of traditional computers. This is also especially valuable in industries such as finance and pharmaceutical research.
02

Restraint: Technical Challenges, and Technical Challenges

Creating flawless qubits continues to pose a major obstacle that affects the ability to scale up quantum processors.
Creating flawless qubits continues to pose a major obstacle that affects the ability to scale up quantum processors.
03

Opportunity: Expansion into New Application Areas and Government Funding and Support

In addition to computing applications quantum chips are being utilized in ways such as medical imaging and precise sensing, opening up new possibilities and areas for exploration.
Countries, around the globe are putting significant resources into quantum research by offering funding and rewards to support the advancement and marketization of quantum chips.
04

Challenge: Lack of Skilled Workforce

The intricacy of quantum technology requires a trained workforce that is currently, in short supply and hampers the progress of industry expansion.

Supply Chain Landscape

1
Material Supplier

Provides specialized materials like superconductors and photonics

2
Quantum Chip Manufacturer

Designs and manufactures quantum chips, focusing on qubit quality and stability

3
Component Integrator

Chips integration with control electronics and cooling systems

4
End-User

Finance

Healthcare

*The illustration highlights the key stakeholders within the supply chain ecosystem.

Applications of Quantum Chip in Computing, Cryptography & Sensing

Quantum Computing

Quantum processors allow for computing capabilities that can be applied in areas such as pharmaceutical research and financial analysis; prominent companies such as IBM and Google are at the forefront of these advancements, in boosting processing speeds substantially.

Quantum Cryptography

In the field of cryptography, quantum chips provide security by using quantum key distribution to safeguard data transmission from potential eavesdropping. D Wave and Rigetti are leading companies researching quantum resistant encryption techniques.

Quantum Sensing

Quantum processors are employed in sensors for measurements essential in areas such as medical imaging and geological surveys. Leading companies like Honeywell are at the forefront of developing quantum sensors that outperform sensor accuracy levels.

Artificial Intelligence

In the field of AI, quantum chips are utilized to speed up data processing and handle intricate decision making models efficiently. Intel and Xanadure heavily investing in quantum processors tailored to enhance AI algorithms for analysis of large datasets, in real time.

Recent Developments

October 2023

IBM introduced its superconducting quantum chip that enhances the stability of qubits.

June 2023

Google collaborated with NASA to investigate how quantum computing could be used in space exploration.

March 2023

Intel unveiled a processor that combines quantum and classical capabilities specifically tailored for AI and machine learning applications.

In the advancements within the quantum chip industry field, there is a clear trend towards practical uses and easier access. The newest quantum chip from IBM focuses on enhancing stability whereas Google partnering with NASA showcases the potential of quantum computing in cutting edge areas such as space exploration. Additionally Intels hybrid processor signifies the industry's push towards merging quantum and classical computing improving its effectiveness, in intelligence applications.

Impact of Industry Transitions on the Quantum Chip Market

As a core segment of the Semiconductor industry, the Quantum Chip market develops in line with broader industry shifts. Over recent years, transitions such as Shift to Quantum as a Service (QaaS) and Emergence of Quantum-Enhanced AI have redefined priorities across the Semiconductor sector, influencing how the Quantum Chip market evolves in terms of demand, applications and competitive dynamics. These transitions highlight the structural changes shaping long-term growth opportunities.
01

Shift to Quantum as a Service (QaaS)

Several companies have started providing quantum computing solutions through cloud based services to allow more businesses access to quantum technology. This industry transition is expected to add $2.8 billion in the industry revenue between 2024 and 2030.
02

Emergence of Quantum-Enhanced AI

The use of quantum chips is becoming more common in boosting AI algorithms. This results in enhancements, in data processing and the efficiency of machine learning.

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