Global Quantum Computing Market to Reach $411.4 Million by 2026

Quantum computing presents a dynamic paradigm for solving complex optimization issues due to its ability to process information in a different manner than classical computers. The market is primarily steered by increasing government and private funding on research programs intended to leverage quantum computing for information processing and other applications. Factors such as increasing incidents of cybercrime coupled with growing adoption of emerging technologies such as machine learning, smart manufacturing, cloud computing and molecular structure research are anticipated to set a perfect stage for growth of the quantum computing market. While increasing application in sectors like defense, healthcare, chemicals and banking are favoring the market, availability of fault-tolerance systems and efforts to leverage quantum computing for realistic programs are expected to fuel the market growth. Quantum computing is anticipated to hold a critical role in supporting new applications and technologies such as artificial intelligence, edge computing, big data analytics, IoT and smart city projects. The technology is also used in cryptography for quantum-encrypted, secure communications, creating strong prospects for the market expansion.

Amid the COVID-19 crisis, the global market for Quantum Computing estimated at US$112.6 Million in the year 2020, is projected to reach a revised size of US$411.4 Million by 2026, growing at a CAGR of 24.2% over the analysis period. Material Simulation, one of the segments analyzed in the report, is projected to record a 25.2% CAGR and reach US$227.2 Million by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the Optimization segment is readjusted to a revised 24.5% CAGR for the next 7-year period.

The U.S. Market is Estimated at $62.4 Million in 2021, While China is Forecast to Reach $54.6 Million by 2026

The Quantum Computing market in the U.S. is estimated at US$62.4 Million in the year 2021. China, the world`s second largest economy, is forecast to reach a projected market size of US$54.6 Million by the year 2026 trailing a CAGR of 27.2% over the analysis period. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 18% and 22.6% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 22.4% CAGR. The US is the dominant market, due to increasing focus of government agencies and the defense and aerospace sectors on quantum computing to leverage machine learning. The region is witnessing massive investments and efforts to develop resources and infrastructure to support quantum computing. Europe is likely to emerge as a major force in the global quantum computing market due to increasing number of companies targeting the technology. The EU and the UK have announced various national programs to expedite R&D related to quantum computing. Among the developing regions, the Asia-Pacific market for quantum computing is estimated to witness a notable expansion owing to increasing adoption of the technology in the BFSI sector. These computers are finding increasing implementation in countries such as Japan and China for optimizing business tasks.

By End-Use, Space & Defense Segment to Reach $146.4 Million by 2026

Quantum technologies remain key research focus within the space & defense sector owing to their disruptive role in a diverse spectrum of areas and applications. The incorporation of quantum computing technologies is anticipated to considerably benefit the space and defense establishments. The concept is expected to enable exciting military applications and support national programs. In the global Space & Defense (End-Use) segment, USA, Canada, Japan, China and Europe will drive the 22.1% CAGR estimated for this segment. These regional markets accounting for a combined market size of US$37.5 Million in the year 2020 will reach a projected size of US$162.2 Million by the close of the analysis period. China will remain among the fastest growing in this cluster of regional markets. Led by countries such as Australia, India, and South Korea, the market in Asia-Pacific is forecast to reach US$10.4 Million by the year 2026.