Quantum computing stocks delivered explosive gains until the start of the year.
Toward the end of 2024, a new pocket of the artificial intelligence (AI) realm called quantum computing started receiving quite a bit of interest from the investment world. Seemingly overnight, stocks such as IonQ, D-Wave Quantum, and Rigetti Computing emerged as popular names leading the quantum computing charge.
After the rapid rise of the artificial intelligence (AI) industry, the next hot sector could be quantum computing. Quantum technology holds the potential to transform industries to even greater degrees than AI.
For the last couple of years, investors have learned how artificial intelligence (AI) is paving the way for a new frontier in the technology sector. At this point, it's common knowledge that AI is used for developing software, building large language models (LLMs), and even training autonomous vehicles.
In 2024, nearly any company dealing with quantum computing or artificial intelligence saw its valuations soar. These two fields created some of the hottest investment opportunities in years.
The quantum computing arms race is starting to heat up, as multiple companies have announced breakthroughs in this important field. However, we're still way out from widespread commercially available quantum computing, so it's difficult to determine which companies are outright winning this race.
Recent breakthroughs in artificial intelligence (AI) have powered massive returns for investors who bought into the biggest beneficiaries early. AI spending has propelled the entire stock market higher as investors expect it to unlock a ton of economic value.
Amazon introduced its first quantum computing chip, following similar releases from Microsoft and Google. Nicknamed “Ocelot,” this quantum chip “represents an important step in developing efficient means to scaling up to practical, fault-tolerant quantum computers,” Amazon wrote in a company blog post Thursday (Feb. 27).
Shares of quantum computing systems provider IonQ (IONQ -10.02%) tumbled 11% through 11 a.m. ET Thursday after the company reported a big earnings miss for Q4 last night.
Quantum computing is often considered the next step forward for the computing industry. Whereas traditional computers still process data in binary bits of zeros and ones, quantum computers can process zeros and ones simultaneously in "qubits.
Imagine computers so powerful they can solve problems in seconds that would take today's fastest supercomputers thousands of years to crack. This is the promise of quantum computing, a revolutionary technology that harnesses the strange properties of subatomic particles to process information in entirely new ways.
Two of the biggest themes fueling stock market action today are the areas of artificial intelligence (AI) and quantum computing. These technologies are complementary and could be game changers for companies down the road -- helping them solve previously impossible problems and make tremendous gains in efficiency.