Google wants to sell quantum computers by 2029

Alphabet Inc. (NASDAQ: GOOGL) wants to build a quantum computer by the end of this decade that could be used commercially to handle large-scale scientific and business calculations with an exponentially higher efficiency and without errors, revealed Hartmut Neven of Google’s Quantum AI program.

Google unveils a new Quantum AI campus in Santa Barbara

The search giant will make a multi-billion-dollar investment to realise the plan starting with a new Quantum AI campus in Santa Barbara that it unveiled on Tuesday at its annual developer conference. The California-based campus features a quantum data centre, quantum processor chip fabrication facilities, and hardware research labs.

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Also in the developer conference, Google updated many of its services, from operating system to maps, to better position itself in a pandemic-hit world that is more digitally connected than before.

The race to commercialise quantum computers has seen sizeable investments in recent years from notable players other than Google, including D-Wave, IBM and Honeywell International. Big cap companies like Volkswagen, JPMorgan Chase, and Visa are currently experimenting with early-stage quantum technology.

Google will offer its quantum-computing services via cloud

Dr Neven further highlighted that Google will turn to cloud to offer its quantum-computing services. The U.S. tech giant is confident that harnessing quantum physics will speed up machine learning, help make more energy-efficient batteries and fertilisers with minimal carbon dioxide emissions. Neven acknowledged the challenges in developing the technology that will potentially find countless applications but said:

“We are at this inflexion point. We now have the important components in hand that make us confident. We know how to execute the road map.”

According to Gartner (global research and advisory firm), close to 40% of large companies are likely to penetrate the quantum-computing space by 2025. Research and Markets sees the global quantum-computing hardware market to be worth more than $7.1 billion (£5.03 billion) by 2026.

Alphabet’s performance in the stock market

The news comes only a few weeks after Google-parent Alphabet Inc. published its financial results for the fiscal first quarter. Alphabet opened at $2,231 per share on Wednesday and is currently exchanging hands at a higher $2,261 per share.

In comparison, the American multinational had started the year at $1,726 per share after recovering from a low of $1,068 per share in March 2020. At the time of writing, Alphabet has a market capitalisation of $1.53 trillion and a price to earnings ratio of 29.21.