Federal and Qld governments put $940m into quantum computer

The federal government has joined with Queensland to invest $940 million into a quantum computer being built by a US-based startup.

In return, the startup, PsiQuantum, will set up regional headquarters in Australia and host its first computer at "a strategically located site near Brisbane Airport".

The investment into PsiQuantum, which has two Australians among its co-founders, has been mooted since late last year, and has attracted criticism for the way it was negotiated as well as for not backing the local quantum industry.

After reports of the investment emerged overnight, PsiQuantum confirmed the near $1 billion “financial package” on Tuesday morning, which it said, “comprised of equity, grants and loans”.

“PsiQuantum is on an aggressive plan to have the [Brisbane Airport] site operational by the end of 2027,” it said.

“A fault-tolerant quantum computer will be able to solve commercially useful problems across industries built upon chemistry, math, and physics; thereby transforming critical industries.”

PsiQuantum claims to be able to build a “hyperscale” quantum computer that has a modular architecture and is cryogenically cooled.

The startup called the investment an “endorsement from the Australian government”.

It comes only a day after the government made a much smaller investment - $18.4 million - into a “new national centre, Quantum Australia” that will “raise awareness of quantum technology, foster collaboration between industry and universities, encourage the creation and growth of more quantum startups, and connect quantum companies on a national and international scale.”

The centre will be led by the University of Sydney.