IBM plans to invest more than $10 billion in quantum computing over the next five years as the technology company accelerates efforts to build the world’s first large-scale fault-tolerant quantum computer by 2029.
The initiative highlights the growing strategic importance of quantum computing in areas such as artificial intelligence, drug discovery, cybersecurity, financial modeling, and advanced scientific research.
The investment will support research and development, manufacturing expansion, capital expenditure, ecosystem partnerships, and acquisitions related to quantum technologies. IBM said the funding will also strengthen its quantum hardware and software capabilities as competition intensifies globally, particularly between the United States and China.
A major portion of IBM’s strategy centers on delivering a fault-tolerant quantum computer capable of performing complex calculations reliably and without errors. Current quantum systems suffer from high error rates that limit commercial usability. IBM aims to overcome those limitations through advanced error-correction techniques and scalable quantum architectures.
IBM’s roadmap includes the development of “IBM Quantum Starling,” a large-scale fault-tolerant quantum computer expected to run up to 100 million quantum gates on 200 logical qubits by 2029. The system is being developed at IBM’s quantum data center in Poughkeepsie, New York.
The announcement follows a recent U.S. government initiative to invest $2 billion in quantum computing firms to strengthen American leadership in the sector. IBM is expected to receive roughly half of that funding for a new venture called Anderon, which aims to become the first dedicated quantum chip manufacturing facility in the United States. IBM itself will contribute $1 billion to the venture while also providing intellectual property, assets, workforce support, and additional investors.
IBM said it has already deployed more than 90 quantum systems globally, more than all competing companies combined. More than 325 Fortune 500 companies, startups, universities, and government agencies currently use IBM’s quantum systems for applications involving chemistry, biology, materials science, and optimization challenges.
The company’s investment reflects rising confidence in quantum computing’s long-term commercial potential despite ongoing technical challenges. Industry leaders believe quantum computing could eventually solve highly complex problems beyond the capabilities of classical supercomputers. However, experts including executives from Alphabet have previously indicated that commercially practical quantum systems may still be several years away.
