The federal government’s National Reconstruction Fund (NRF) has doubled down on Silicon Quantum Computing (SQC), pouring another $40 million into the Sydney scaleup, less than three months after investing an initial $20m.
The new funds are for the development and expansion of SQC’s quantum chip manufacturing capability.
Alongside the $60m from the NRF, the federal government also holds around a one-third stake in SQC, having invested $40 million, including $25 million in 2017.
This funding is part of a larger round currently underway, after the quantum scaleup last raised a $50 million Series A in 2023 at a $195 million valuation. Other investors include CBA, Telstra, UNSW, and the NSW Government.
The NRF says SQC is the only company globally capable of manufacturing quantum chips with atomic precision as well as quantum enhanced-AI products for enterprise and government.
SQC builds quantum chips (QPUs) for commercial-scale quantum systems. The UNSW spin out was founded in 2017 by former Australian of the Year and Tech Council director Professor Michelle Simmons.
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The new funding comes as the federal government’s $470m investment in US rival PsiQuantum faces delays on its build after relocating from Brisbane Airport to Moreton Bay.
Chips in a week
SQC, which has 100 staff in Sydney, can design, produce and test new quantum chips in under a week. It has two products: Watermelon, a quantum machine learning system, and Quantum Twins, a quantum simulator designed to accelerate molecule and materials discovery.
Its customers span energy, logistics, defence and telecommunications, including Telstra.
Simmons , the CEO, said the startup’s silicon manufacturing capability, the result of 25 years of research and development, “gives us a decisive advantage in the global race, and NRFC’s investment allows us to accelerate that mission”.
NRF CEO David Gall said Australia leads the world in quantum computing.
“SQC’s in-house manufacturing allows the company to iterate significantly faster, and with greater accuracy, than its competitors,” he said.
“This gives SQC a critical edge in forging the fastest and most cost-effective path to a commercial-scale quantum computer.”
