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IBM’s ‘Loon’ Chip Marks Major Step Toward Practical Quantum Computers by 2029

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IBM has unveiled a new experimental quantum computing chip, dubbed “Loon,” that the company says achieves a critical milestone toward building useful, error-corrected quantum computers by 2029.

Quantum computers hold the potential to solve complex problems in chemistry, physics, and logistics that would take traditional supercomputers thousands of years to complete. However, the fragile quantum states that power these machines are notoriously prone to errors — a challenge that has long stood in the way of practical applications.

To address this, IBM in 2021 proposed an innovative approach to error correction, adapting algorithms originally developed to improve cellphone signal reliability. The method uses a hybrid system combining quantum and classical chips to stabilize qubits — the basic units of quantum computation.

According to Jay Gambetta, IBM Research director and IBM Fellow, the Loon chip was fabricated at the Albany NanoTech Complex in New York, using the same advanced semiconductor tools found in cutting-edge commercial fabs.

“Loon remains in early stages,” Gambetta said, “but it demonstrates a critical step toward error-corrected quantum computing that can outperform classical systems.”

IBM also introduced another chip, “Nighthawk,” which will be made available by the end of this year. The company expects Nighthawk to surpass classical computers on specific tasks by late 2026.

Analyst Mark Horvath of Gartner called the new design “very clever,” noting that the inclusion of quantum interconnections between qubits makes the chips harder to build but exponentially more capable.

IBM plans to make Nighthawk’s code openly available to researchers and startups, fostering a community-driven testing model to validate claims of quantum advantage — when quantum systems outperform classical ones.

Nobel Laureate and Tech Giants Form Alliance to Build Mass-Produced Quantum Supercomputers

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Nobel Prize-winning physicist John M. Martinis has teamed up with Hewlett Packard Enterprise (HPE) and leading semiconductor companies to launch an ambitious initiative to build the world’s first mass-producible quantum supercomputer.

The collaboration, called the Quantum Scaling Alliance, brings together Applied Materials, Synopsys, 1QBit, Quantum Machines, Riverlane, and the University of Wisconsin. Its goal is to transition quantum computing from bespoke, laboratory-scale devices into scalable systems that can be manufactured using the same industrial tools that produce millions of chips for smartphones, laptops, and AI servers.

“Quantum chips have been made in an artisanal way for decades — small batches, one at a time. Now it’s time to move to a standard professional model,” Martinis told Reuters.

Quantum computers exploit qubits, which can exist in multiple states simultaneously, enabling them to perform complex calculations exponentially faster than traditional machines. The alliance aims to overcome one of the key barriers in the field — scaling quantum systems while maintaining stability and error correction.

HPE’s quantum team, led by Masoud Mohseni, is working on the integration of quantum and classical computing systems — a critical step toward achieving large-scale, fault-tolerant quantum machines.

“People think that once you have hundreds or thousands of qubits, you can easily scale to millions. That’s just not true. Each scale brings new challenges,” Mohseni explained.

By uniting expertise in chip manufacturing, software design, and computing architecture, the Quantum Scaling Alliance hopes to create the foundation for commercially viable quantum supercomputers — machines capable of tackling problems in chemistry, medicine, materials science, and cryptography that are currently beyond reach.

Quantum Computing Stocks Send Speculators on a Wild Ride as Hype Outpaces Reality

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Quantum computing stocks have become Wall Street’s latest obsession — and one of its most unpredictable playgrounds. Companies such as Rigetti Computing, IonQ, D-Wave Quantum, and Quantum Computing Inc. have seen their share prices surge by 100% or more this year as investors chase what some call “the next great technological revolution.”

These firms are racing to commercialize quantum computers — machines that exploit the principles of quantum mechanics to solve problems far beyond the reach of today’s fastest supercomputers. The potential applications range from cryptography and logistics to drug discovery and financial modeling.

“It feels like science fiction has suddenly become a near-term reality,” said Sylvia Jablonski, CIO of Defiance ETFs, which runs the Defiance Quantum fund. Yet, analysts warn that enthusiasm may be running far ahead of fundamentals. Rigetti shares, for instance, have skyrocketed from just over $1 to as high as $58 this year, trading at more than 1,000 times the company’s sales.

“It’s a magic act,” said Christopher Poch of Promethium Advisors. “How else do you explain a company with a $13 billion valuation but only $22 million in forecast revenue?”

Despite the eye-popping numbers, most quantum firms remain unprofitable. Some, like Rigetti, have posted paper profits from changes in the value of securities, not from operations. Analysts say valuations in the “Quantum 4” — Rigetti, IonQ, D-Wave, and Quantum Computing Inc. — are now more art than science.

Still, optimism remains high. Major financial players such as JPMorgan Chase and HSBC have begun investing in quantum-based systems, and McKinsey projects the global quantum market could exceed $100 billion. But as Neuberger Berman’s Rick Bradt cautioned, “The promise is undeniable — but the timing remains deeply uncertain.”