Introduction to Quantum Technology Investment in OECD
The Organization for Economic Cooperation and Development (OECD) has reported a significant increase in investments in quantum technology, with the sector now supported by 4,622 companies worldwide. This growth is highlighted in the OECD’s recent report, ‘Mapeo del ecosistema cuántico global’.
18 OECD Nations Implement Quantum Strategies
Over the past decade, more than 18 OECD countries have established national and supranational quantum strategies to set priorities for technological development, risk management, stakeholder engagement, and desired political outcomes. Consequently, public funding for quantum research and development (R&D) has also seen a considerable rise.
Funding Trends for Quantum R&D
The report indicates that this funding increase extends beyond countries with specific strategies. The proportion of R&D funding for quantum technology relative to total R&D funding in the OCDE’s Fundstat database has consistently increased over the last decade, rising from approximately 0.4% in 2015 to 1.1% in 2023, peaking at 1.2% in 2022.
Simultaneously, the proportion of funded projects related to quantum technology has grown proportionally, reaching nearly 0.8% of all funded projects by the end of the observation period. The implied grant amount for quantum R&D surpassed non-quantum R&D projects’ amounts since 2018, except in 2020, possibly due to shifting priorities during the COVID-19 pandemic.
Government Perspectives and Initiatives
According to governments, quantum technologies are still “immature,” and the ecosystem faces “significant vulnerabilities in the supply chain.” To address these concerns, they have launched initiatives focused on increasing public funding for R&D, enhancing industrial competitiveness, supporting technology adoption, and assisting businesses in navigating early experimentation and commercialization stages.
Key Quantum Technology Players
The report explains that the quantum technology ecosystem is rapidly expanding globally, as evidenced by the growing number of companies entering the sector, increased investment, and robust innovation activity across multiple alternative technologies competing within each quantum domain.
While communication quantum remains crucial for company creation and patent activity, the report emphasizes that quantum computing is currently the most dynamic area, driving significant increases in company creation and patent activity.
Globally, there are 4,622 organizations within the industrial quantum ecosystem, including 830 “key” companies heavily reliant on initial investment and public funding to develop and enable quantum technologies. These firms coexist with numerous non-central organizations, large corporations, universities, and nature conservation bodies responsible for most quantum-related patents and jobs.
Leading Quantum Technology Nations
The report highlights the United States as the leading actor in all quantum domains regarding company entries, innovation production, and total investment. However, the U.S. represents the majority of quantum technology patenting activity, though its participation has decreased by ten percentage points between 2015-2019 (41%) and 2020-2024 (31%).
Additionally, the report acknowledges other countries or groups of countries in this field, such as Canada, the UK, Germany, France, China, Japan, and South Korea. Despite this, the investigators stress that the quantum industry remains heavily science-driven and primarily focused on technology development.
Stagnant Growth Concerns
The report points out that the industry’s growth rate might have stagnated in recent years, according to recent data on company entries, investment, and job offers, which “require cautious interpretation.” Moreover, commercial data—”of limited precision”—suggests a growing concentration and dependence on global supply chains for critical quantum components, such as industrial diamonds, aluminum oxide, and metal oxometallic salts.
“Advancing toward commercialization (an increasing but still limited focus in job offerings) and establishing dominant technological paradigms are crucial steps for the ecosystem’s continued growth,” advises the report.
Key Questions and Answers
- What is the current state of quantum technology investment? Investment in quantum technology has grown significantly, with 4,622 companies now supporting the sector globally. Public funding for quantum R&D has also increased considerably.
- Which countries are leading in quantum technology development? The United States is the primary actor across all quantum domains, though its patenting participation has decreased. Other notable countries include Canada, the UK, Germany, France, China, Japan, and South Korea.
- What challenges does the quantum technology ecosystem face? Governments consider quantum technologies “immature” with significant vulnerabilities in supply chains. Initiatives aim to increase public funding for R&D, enhance industrial competitiveness, and support technology adoption.
- Is the growth of the quantum technology industry sustainable? Recent data suggests potential stagnation, with limited precision in commercial data indicating growing dependence on global supply chains for critical quantum components.
