Quantum Computing Stocks Surge As Trump Administration Reportedly Wants Stakes

Core Viewpoint - Shares of quantum computing firms experienced significant increases following reports that the Trump administration may acquire stakes in these companies in exchange for federal funding, similar to previous arrangements with Intel and rare earth mining companies [1][2]. Group 1: Government Involvement - The U.S. Commerce Department is in discussions with at least three quantum computing firms—IonQ, Rigetti Computing, and D-Wave Quantum—regarding equity stakes in exchange for government funding awards [1][3]. - Two additional companies, Quantum Computing and Atom Computing, are also exploring similar arrangements [2]. - Companies that agree to the deal could receive federal funding awards of at least $10 million each, although the specifics of the equity exchange remain unclear [3]. Group 2: Previous Equity Stakes - The Trump administration has previously taken equity stakes in various companies, including a 10% stake in Intel, valued at approximately $10 billion, making the government a significant shareholder [4]. - The administration also acquired a $400 million equity stake in MP Materials and has stakes in other mining companies [4]. Group 3: Strategic Industry Focus - The administration's approach to acquiring equity stakes is part of a broader strategy to ensure self-sufficiency in strategic industries, particularly in response to geopolitical pressures, such as China's rare earth export policies [5]. Group 4: Quantum Computing Landscape - Quantum computing is viewed as a transformative technology that could outperform current supercomputers significantly, with companies like Google, Microsoft, and IBM making notable advancements [6][7].