Finnish Quantum Startup IQM Eyes €128 Million Amid Industry Surge

Insider Brief

• Finnish quantum startup IQM is seeking to raise more than €128 million as investor interest in quantum computing surges and technical progress accelerates.
• IQM has raised $210 million to date, making it the second-best-funded quantum hardware company in Europe outside Big Tech, according to Sifted.
• The company builds full-stack superconducting quantum computers in-house and operates a chip factory with capacity for 20 systems per year.

Finnish quantum computing startup IQM is seeking to raise more than the €128 million it secured in its last funding round, as technical progress and investor interest accelerate across the global quantum computing sector, according to media reports.

Founded in 2018, IQM is now the second-best-funded quantum hardware startup in Europe outside of Big Tech, with total backing of $210 million from investors including Tencent, World Fund, and MIG Capital, according to data cited by Sifted.

In a recent interview, CEO Jan Goetz told Sifted the company is “constantly fundraising” and planned to raise “a multiple” of the €128 million it closed in 2022. On Tuesday, Bloomberg reported that IQM is in talks to raise more than $200 million. Goetz confirmed that talks are ongoing but declined to comment on the specific number.

IQM builds full-stack superconducting quantum computers and the chips that run them, offering access to quantum computing power via the cloud. The company operates its own private fabrication facility, which can manufacture up to 20 quantum computers per year.

IQM’s push to scale comes as industry confidence grows. A string of technical milestones from firms like Google and IBM has revived hopes that quantum computers—once viewed as decades away—could soon tackle real-world problems.

IQM is part of a rising group of well-capitalized European quantum players. UK-based Oxford Quantum Circuits and France’s Pasqal, which builds neutral-atom quantum systems, have each raised over $100 million. But they still trail U.S. rivals like PsiQuantum, which focuses on photon-based quantum computing and has raised $1.3 billion to date, according to The Quantum Insider Intelligence Platform.

The race to scale has turned talent into a critical bottleneck. In addition to competing for engineering expertise, startups must convince customers that quantum hardware is moving fast enough to merit early experimentation. IQM has focused on partnerships with research institutions and governments to help seed adoption.

Earlier this year, the company expanded its footprint into Eastern Europe, signing a memorandum of understanding with Gdańsk University of Technology in Poland to jointly advance quantum technology research and workforce development, according to The Quantum Insider.

Overall funding momentum for quantum companies has shifted toward Europe. In 2023, startups in Europe, the Middle East, and Africa (EMEA) attracted more funding than their North American and Asia-Pacific peers, according to Sifted.