Home > Technology > Quantum Computing Market Size | Forecast to 2031 | Straits Research
Straits Research

Quantum Computing Market

Quantum Computing Market: Information by Type (Software, Hardware) and Application (Defense, Healthcare and Pharmaceuticals, Chemicals, Banking and Finance) — Forecast till 2031

Table of Content Download Sample

Market Overview

The global quantum computing market is expected to grow at a CAGR 29.5% during the forecast period, 2023–2031.

In quantum computing, operations use qubit, a quantum state of an object. A qubit is an undefined state of an object before it has been detected, such as the spin of an electron or the polarization of a photon. Classical computers carry out logical operations using binary, which are operations are based on one of two positions. A single state represented by 1 or 0 is called a bit. On the other hand, a quantum computer requires holding an object in a superposition state long enough to carry out various processes on it.

Growth in quantum computers could spur the development of new breakthroughs in science, medications to save lives, machine learning methods to diagnose illnesses, materials to make more efficient devices and structures, financial strategies, and algorithms to quickly direct resources such as ambulances. In light of the benefits of technology, the global quantum computing market is anticipated to witness significant growth during the forecast period.

Market Snapshot

market snapshot
Base Year
: 2022
Study Period
: 2021-2031
: 29.5 %
Fastest Growing Market
: Europe
Largest Market
: North America
Market Size
Get more information on this report Download Sample Report

Market Dynamics

Advancements in Quantum Computing to Offer a Reliable Cloud-Based Execution Platform

Current advancements in quantum computing offer growth potential for imaginative concepts to concrete computing options for several enterprises through public and private initiatives. With advancing research in quantum computing, leading companies plan to make quantum hardware and software available for purchase. On the other hand, some organizations are working to provide a cloud-based computing platform and software applications to end-users.

Software plays a key role in providing the finest results for addressing various aspects, including applications and programming, execution and run-time, and architecture design of quantum computing. As per the Quantum Computing Institute of Oak Ridge National Laboratory, the software was one of the leading obstacles in previous execution models as it was a simple approach for run-time compilation with fast and reliable operations. Furthermore, various start-up companies and research institutions such as 1QBit, QxBranch, and QCWare are bridging the gap between experimental researches and large enterprises.

High-Speed Quantum Computers Will Replace Classical Supercomputers to Solve Complex Problems

With the rapid development of quantum hardware technologies, it can be expected that quantum computers will operate in qubits number for solving problems that are beyond the scope of classical supercomputers. As per IBM Research, there are three basic types of quantum computers: Quantum Annealer, Analog Quantum, and Universal Quantum. However, their manufacturing is extremely challenging due to hardware-specific properties and requirements. For instance, D-Wave Systems Inc., one of the manufacturers of commercial adiabatic quantum computers, has estimated that its next-generation quantum computer would have a speed of 2000 qubits. Apart from D-Wave, other leading players such as Google, MIT Lincoln Laboratory, and Intelligence Advanced Research Projects Activity (IARPA) are dealing with hardware devices for quantum computing.

Quantum Technologies to Uncover Possibilities in the Healthcare Sector as the Number of Complex Procedures Continue to Grow

Role of Governments in Directing Research

Quantum technologies are likely to work with several existing technologies, intermixed with policies of national governments, and international agreements to enhance or weaken peace, stability, and economic developments. Moreover, in some cases, regulations may become essential for addressing risks where governments will play a crucial role in leading research in the right direction. For instance, Networked Quantum Information Technologies (NQIT), one of the four-quantum computing research hubs, is funded by the U.K. government for National Quantum Technologies Programme, which is worth around USD 324 million.

Segmental Analysis

Application in Radiotherapy & Protein Folding

Quantum computing can be useful in various healthcare applications such as radiotherapy, drug research, drug interactions, diagnosis using artificial intelligence, disease screening, imaging, genomic medicine, and protein folding. As per D-Wave Systems Inc., this technology can be applied to radiotherapy and protein folding, and it has completed an initial radiotherapy study in a research facility in New York, the U.S. Radiotherapy is the most commonly used treatment for cancer along with chemotherapy. With the growing use of a quantum computer, the horizon of possibilities that can be considered for each simulation will get broader, enabling the running of multiple simulations simultaneously at high speeds.

Application in Pharmaceutical & Automotive Sectors

With quantum computing, it has become possible to compare larger molecules, which can be beneficial for pharmaceutical advancement and holds the potential to save the development time and money required for bringing drugs to the market. Several applications are possible once development in the research of quantum computing reaches its final stages. Automotive, transportation and logistics, machine learning, and teleportation are among the key sectors expected to benefit.

In December 2017, DENSO Corporation and Toyota Tsusho Corporation announced plans to test a quantum computer for processing data from a traffic IoT platform. This technology can be helpful in the future if vehicles and mobility systems need to process large amounts of data in real-time. The test conducted for commercial vehicles in Thailand collected and analyzed location information through cloud-based quantum computer devices developed by the Canada-based D-Wave Systems Inc.

Regional Analysis

North America Leads the Global Market, Backed by Massive Public Investments in Quantum Infrastructure Development

With large-scale public and private R&D investments, North America dominates the global quantum computing market. Governments in the region are significantly investing in building the infrastructure and resources needed for quantum dominance. Thus, governments are fostering the development and growth of quantum technologies by supporting basic and applied research in government and non-government laboratories and universities.


In December 2018, the U.S. Congress passed a bill to accelerate quantum computing, and President Trump signed the National Quantum Initiative Act (NQI Act), which directs the Department of Energy (DOE), National Science Foundation (NSF), and National Institute of Standards and Technology (NIST) to support R&D and education in Quantum Information Science (QIS). The act also offers more specific directions for each NQI agency, including setting program goals and facilitating partnerships among federal laboratories, universities, companies, and other entities.

Europe — A Key Contributor to Growth of the Quantum Computing Market

Europe is a key contributor to research on quantum computing technology and ranks in publications, patents, and companies engaged in developing quantum technologies. The European Union and the U.K. have developed national strategies or programs aimed at accelerating research on quantum computing technologies. For instance, the Institute for Defense Analyses (IDA) estimates that the European Union spent USD 361 million per year on quantum science and technology research during 2013–2015.

China — An Emerging Player in the Global Quantum Computing Market

Chinese quantum computing technology has been experiencing significant improvements and innovations and racing to hold the second-largest share in the quantum computing field, which has historically been dominated by American researchers. Additionally, quantum information science research is one of the four mega projects of China’s 15-Year (2006–2020) Science and Technology Development Plan. The Chinese government is channelizing notable efforts for developing quantum communications and quantum computing. Recently, it spent USD 10 billion for building the National Laboratory for Quantum Information Sciences in Hefei, which is slated to open by 2020.

Quantum Computing Market Regional Analysis
Regional Growth Insights Download Free Sample

Top Key Players of Quantum Computing Market

Are among the key players operating in the global quantum computing market.

  1. Cambridge Quantum Computing Ltd
  2. Nokia Bell Labs
  3. Toshiba Corporation
  4. D-Wave Systems Inc.
  5. IonQ, Inc.
  6. QxBranch Inc
  7. Rigetti & Co, Inc.
  8. Alibaba Group Holding Limited
  9. QuantumCTek Co., Ltd.
  10. Anhui Qasky Quantum Technology Co. Ltd
  11. Huawei Technologies Co., Ltd
  12. Baidu, Inc
  13. Qubitekk Inc

Report Scope

Report Metric Details
CAGR 29.5%
Forecast Period 2023-2031
Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends
Segments Covered
  1. By Type
    1. Software
    2. Hardware
  2. By Verticals
    1. Defense
    2. Healthcare and Pharmaceuticals
    3. Chemicals
    4. Banking and Finance
    5. Energy and Power
    6. Others
Geographies Covered
  • North America
  • Europe
  • APAC
  • Middle East and Africa

Recent Developments

  • In 2018, the Canadian government awarded USD 15 million from the annual budget to the Institute for Quantum Computing (IQC) for the study and understanding of quantum revolution opportunities
  • In July 2018, Canada and Germany’s research and private sector organizations signed a Memorandum of Understanding (MOU) to jointly establish corresponding Canadian and German quantum computing and machine learning networks for collaborating on applied quantum computing and machine learning initiatives of mutual interest
  • In 2018, the Japanese banks MUFG Bank, Ltd. and Mizuho Bank, Ltd. joined a new IBM Q Hub at Keio University for access to the Q's commercial 20 Qubit System via the cloud for research and development on future applications for quantum computing in the financial sector
  • In 2017, QxBranch launched a quantum computing simulator for the Commonwealth Bank of Australia (CBA). The simulator allows business leaders, developers, and quantitative analysts to explore and validate uses of quantum computing hardware
  • In October 2018, Cambridge Quantum Computing (CQC) announced a collaboration with JSR Corporation for the extensive experiment of implementing state-of-the-art quantum algorithms for calculating excited states of molecules that can consider multi-reference characteristics. However, CQC and JSR are the part of IBM Q that are constantly working on implementing CQC’s quantum chemistry application with IBM’s 20 qubit quantum processor
  • In January 2019, ExxonMobil signed a partnership agreement with IBM for advancement in the potential use of quantum computing in developing next-generation energy and manufacturing technologies. Development in quantum computing could provide an ability to address computationally challenging problems across a variety of applications such as the potential to optimize a regional power grid and perform more predictive environmental modeling

Quantum Computing Market Segmentation

By Type

  • Software
  • Hardware

By Verticals

  • Defense
  • Healthcare and Pharmaceuticals
  • Chemicals
  • Banking and Finance
  • Energy and Power
  • Others

By Region

North America

  • The U.S.
  • Canada
  • Mexico


  • The U.K.
  • Germany
  • France
  • Italy
  • Spain
  • The Rest of Europe


  • China
  • India
  • Japan
  • South Korea
  • Australia
  • The Rest of Asia-Pacific


  • Brazil
  • Saudi Arabia
  • South Africa
  • The Rest of LAMEA

Frequently Asked Questions (FAQs)

What is the growth rate for the Quantum Computing Market?
Quantum Computing Market size will grow at approx. CAGR of 29.5% during the forecast period.
Some of the top industry players in Quantum Computing Market are, Cambridge Quantum Computing Ltd, Nokia Bell Labs, Toshiba Corporation, D-Wave Systems Inc., IonQ, Inc., QxBranch Inc, Rigetti & Co, Inc., Alibaba Group Holding Limited, QuantumCTek Co., Ltd., Anhui Qasky Quantum Technology Co. Ltd, Huawei Technologies Co., Ltd, Baidu, Inc, Qubitekk Inc, etc.
North America has held a dominant position in the Quantum Computing Market, with the largest market share.
The Quantum Computing Market has seen the most substantial growth rate in Europe.
The global Quantum Computing Market report is segmented as follows: By Type, By Verticals
Price Starts From
USD 995

Purchase Benefits

  • Eligible for a free updated report next year
  • Completely customizable scope
  • 30% discount on your next purchase
  • Dedicated account manager
  • Query resolution within 24 hours
  • Permission to print the report
Want to learn more about recent trends and data ?
They Already Trust Us :
Samsung Electronics
Need Assistance?
+1 646 905 0080 (U.S.)
+44 203 695 0070 (U.K.)

Report Benefits

  • Develop business strategies by understanding the trends shaping and driving the Market.
  • Drive revenues by understanding the key trends, innovative products and technologies, market segments, and companies likely to impact the Market in the future.
  • Formulate effective sales and marketing strategies by understanding the competitive landscape and by analysing the company share of market leaders.
  • Identify emerging players with potentially strong product portfolios and create effective counter-strategies to gain a competitive advantage.
  • Track sales in the global and country-specific Market.
  • Organize your sales and marketing efforts by identifying the market categories and segments that present maximum opportunities for consolidations, investments and strategic partnerships.
Report Snapshot
Looking For Custom Report ?
Check Our License Options :

As featured on :

Trusted by Fortune 500
Over 30000+ subscribers