Research suggests Canada punches above its weight in the quantum computing sector, but it needs support to actually sell products if it doesn’t want to lose its head start.
Canada represents 0.5% of the world's population but has 5% of the quantum computing talent pool, according to the Quantum Algorithms Institute (QAI). Names like D-Wave, 1QBit, and Xanadu were early leaders in commercializing the sector, but competition is heating up.
- In 2014, Canadians owned over half of the quantum computing patents in the country. Today, they own just 14%.
Why it’s happening: When Ottawa revealed its National Quantum Strategy last year, stakeholders said the government being the first buyer for the tech would be pivotal. But according to Louise Turner, CEO of QAI, the feds aren’t great at buying homegrown tech and lack initiatives to connect companies with customers.
- The National Quantum Strategy set aside just $169 million over seven years for commercialization projects, and Innovative Services Canada — the way Ottawa planned to be a first buyer — was gutted in February.
Why it matters: Quantum computing could be a $180 billion business by 2040, according to McKinsey. If it maintains its head start, the National Research Council proposed Canada could capture 8% of the market.
Big picture: Lisa Lambert, CEO of Quantum Industry Canada, says the goal should be creating a holistic environment that supports the technology at all stages, similar to how Taiwan supports its homegrown semiconductor industry.
- In addition to generating demand, that means closing a funding gap between early- and later-stage companies, developing the workforce, and building a resilient supply chain for the materials and infrastructure needed in quantum tech.
Zoom out: Lambert says it’s already worth revisiting the national strategy as other countries make bolder moves to develop their own quantum ecosystems. Germany’s plan costs over $4 billion, Australia invested nearly $1 billion into a quantum supercomputer, and Denmark, with a population 14% the size of Canada’s, is spending roughly $196 million.