U.S. Deputy Commerce Secretary Stresses Holistic Ecosystem Approach For Quantum Technology Development

Insider Brief

• Deputy Secretary of Commerce Don Graves emphasized the importance of developing a robust quantum ecosystem to maintain U.S. leadership in quantum information science and technology, which he claims is five to ten years ahead of global competition.
• Graves highlighted the need for a multifaceted approach, including private sector innovation, federal investments, and resilient supply chains, to address financial and policy challenges in the quantum industry.
• National security is central to the Department of Commerce’s strategy, with Graves stating, “We won’t compromise on national security, full stop,” while stressing the balance between economic and national security in quantum technologies.

It may take a village to raise a child, but it will take an ecosystem to build and maintain quantum leadership, according to one of the U.S.’s top policymakers.

The U.S. Department of Commerce is placing national security at the pinnacle of its efforts to develop and maintain leadership in quantum information science and technology (QIST) — claimed to be five to ten years ahead of its nearest competition — and focusing ecosystem development as one of its core strategies in maintaining that lead, according to Deputy Secretary of Commerce Don Graves.

NextGov reports Graves emphasized the need for ecosystem development, strategic investments in quantum and policy measures to foster a robust domestic quantum industry when he spoke at a forum hosted by the Center for Strategic and International Studies.

While acknowledging the complexities of quantum technologies, Graves stressed the importance of conveying their practical implications beyond technical jargon.

“I think it’s important to not talk about things like neutral atoms and qubits and cryptoanalytically relevant quantum computers and quantum things like that, and talk about what it actually means,” he said, as reported by NextGov. “It’s enabling us to do a whole lot more than we had ever thought possible.”

Ecosystem Development Beyond Science

Graves told the audience that supporting the U.S. quantum industry requires a multifaceted approach, extending beyond basic scientific research. He pointed out that building a quantum ecosystem involves addressing financial, policy and international partnership challenges. Central to this effort is the role of the private sector, which he described as a critical driver of innovation in quantum technologies. However, Graves also noted that targeted government investments are necessary to address market inefficiencies.

“We are the world’s leaders in quantum, but we can only maintain that leadership if we’re able to continue to invest and continue to develop the cutting-edge quantum technologies,” Graves said, according to NextGov.

He added that the private sector plays a vital role in this development, but government support is essential where the market falls short.

“We have to rely on our private sector to drive development, but we can make investments … where there’s market inefficiencies, where the private sector needs additional support.”

Virtuous Circle of Ecosystem Development

As an example of the Department of Commerce’s commitment to bolstering U.S. leadership in emerging technologies, Graves cited the Regional Technology and Innovation Hubs Program. This initiative aims to invest in regional technology ecosystems across the country, fostering collaboration between industry, academia, and the federal government. Graves said these partnerships are important as a way to share the high costs associated with quantum research and development.

“The equipment costs a lot of money, so the companies work together closely with the universities, and so the companies are sharing employees to some extent,” Graves told the audience. “There’s this virtuous circle. In fact, one of the companies we visited was talking about how they talk with other companies to get ideas on how to solve many of the challenges they face. This is a place where, in fact, all of the boats can rise if one of the boats is rising.”

Graves mentioned Elevate Quantum and its Mountain West initiative specifically, according to the transcript of his talk.

He said: “We’re picking a handful of those technologies that we know we need to invest in, we know that we need to have and retain American leadership. And we’re investing to sort of supercharge those ecosystems. It’s about – and in this case, we picked the Elevate Quantum Tech Hub out in Colorado, where there is this center of gravity for quantum, not just from the United States but it’s really a global leader.”

In addition to fostering the building of ecosystems and the nurturing of domestic innovation, Graves stressed that the Department of Commerce is engaged in ongoing discussions with the business community to shape export controls related to quantum technologies. Export controls regulate how certain technological products are distributed globally, and these regulations play a critical role in maintaining the U.S.’s competitive edge in international markets.

A secure supply chain is critical to not just developing, but also maintaining a quantum industry, Graves said.

“We can’t be in a place where a country holds us hostage because we don’t have access to critical input, critical components for our supply chain,” said Graves. “So that’s part of what we’re trying to do, is make sure that as we invest in this technology hub, that we’re also investing in a more resilient supply chain and ecosystem all across the country, and with our partners and allies around the globe.”

That supply chain reinforcement might likely need the government’s financial support — something that may be in the future, according to the deputy commerce secretary. It may require a comprehensive effort aimed at supporting not just quantum, but also adjacent deep technologies.

“There’s discussion of a second CHIPS Act. Certainly, more resources are useful. We hope that Congress reauthorizes many of the programs that support quantum,” he said.  “I think it’s going to take continued focus on these areas of critical and emerging technologies – so quantum, AI, semiconductors, directed energy, photonics, which is part – tied to quantum.”

According to Graves, national security remains a top priority in these discussions, particularly given the sensitive nature of quantum technologies.

“We won’t compromise on national security, full stop,” Graves said. “That’s something that is absolutely essential to us, but we have to recognize that economic security is also national security, so getting that balance right is important to us.”