IonQ aims to build a trillion dollar quantum computing giant

Boundless confidence is a common trait among technology leaders, and Niccolo de Masi, chief executive of IonQ, is no exception. As the figurehead of a US-listed quantum computing company, de Masi champions a technology many consider on the brink of revolutionising the field. His belief is unwavering that quantum computing marks the next transformative era for the digital world, describing it as the largest and most impactful phase of the computing revolution to date.

IonQ’s origins date back to 2015, grounded in more than twenty years of research by Professor Chris Monroe of the University of Maryland and Professor Jungsang Kim of Duke University. The company manufactures quantum computers capable of calculations at unprecedented speeds. Quantum computing is based on qubits, which, unlike classical bits, can exist simultaneously as both a zero and a one. This property dramatically increases computational possibilities, making it feasible to tackle tasks like complex encryption and drug development within hours that would otherwise take years.

The path to practical quantum computing is rife with challenges. Qubits are remarkably unstable and susceptible to disruption from environmental influences, making the technology difficult to scale. IonQ addresses this by employing trapped ions—electrically charged atoms managed with lasers and held in place by electromagnetic fields. This approach, according to IonQ, ensures greater stability and accuracy than rival methods.

De Masi asserts IonQ’s machines have reached a performance level unmatched by competitors, referencing the company’s robust market capitalisation of nearly $13 billion and the backing from titans such as Amazon, Airbus and Breakthrough Energy Ventures. Fundraising momentum has kept pace with technological progress, as demonstrated by the company’s recent $1 billion equity raise and partnerships with Nvidia, Amazon Web Services and AstraZeneca. Revenue for the latest quarter was $20.7 million, an 80 per cent increase year on year, with annual revenue guidance set at $91 million. Despite a loss of $36.5 million on an adjusted ebitda basis, much of this is attributed to accelerated investment in research and development.

Scepticism remains within the market about IonQ’s substantial cash burn and the long road to widespread quantum adoption. De Masi counters such concerns by emphasising IonQ’s strong positioning, pointing to its client base, capabilities and capital as evidence of its leadership. He contends that quantum computing’s energy efficiency offers significant advantages as the industry seeks more sustainable solutions, particularly given the rising power demands of artificial intelligence workloads.

De Masi’s journey to the helm of IonQ has been distinctive, with formative years spent studying physics at Cambridge and early success in mobile gaming and investment. His strategy hinged on identifying quantum computing’s potential ahead of the wider market, culminating in IonQ’s public listing and aggressive expansion. The recent $1.1 billion planned merger with Oxford Ionics—a move currently under review by regulatory authorities—aims to further solidify IonQ’s dominance and establish a global research and development centre in the UK. De Masi envisions a substantial increase in employment in Oxford, reinforcing the belief that talent hoarding is essential to industry leadership.

As interest in quantum computing accelerates globally, with claims from Google and IBM that large-scale quantum machines are within reach this decade, IonQ is intent on becoming the Nvidia of quantum. De Masi’s ambition to create a trillion-dollar enterprise is fuelled by a first-mover advantage and unwavering confidence in the company’s trajectory.