Both D-Wave Quantum (QBTS) and Rigetti Computing (RGTI) have secured up to $100 million each through the CHIPS and Science Act, marking a significant federal endorsement of quantum computing.
The funding deals give the Department of Commerce a minority ownership position in each company, without granting the government any operational control over either firm.
For two companies operating in a capital-intensive, pre-profit industry, access to this level of government-backed funding represents a meaningful runway extension at a critical moment.
The central question now is how each company plans to deploy that capital, and whether the investment translates into a durable competitive advantage in the quantum computing race.
Rigetti has indicated it intends to use the funds to tackle critical scaling challenges, suggesting the company is still in a foundational phase of its technical development.
D-Wave, by contrast, enters this funding arrangement from a more commercially advanced position, with existing customers, production applications, and a growing cloud business already generating real-world revenue.
D-Wave has also reported a large increase in bookings and a rapidly expanding sales pipeline, giving it a more immediate path to converting federal dollars into measurable business outcomes.
That commercial foundation gives D-Wave what analysts and observers describe as a stronger strategic advantage from the deal compared to its quantum computing peer Rigetti.
Despite the optimism surrounding the funding, D-Wave remains deeply unprofitable, and in its most recent second quarter, the company’s adjusted EBITDA loss widened to $37.1 million from $20 million in the same period a year earlier.
Investors considering QBTS should weigh those losses carefully, as the stock remains a high-risk, long-term position best suited for those with a tolerance for very high volatility.
Wall Street’s analyst community is broadly bullish on D-Wave, with 14 of the 17 analysts covering the stock rating it a “Strong Buy,” one recommending a “Moderate Buy,” and two advising a “Hold.”
The consensus average price target of $34.81 implies the stock could climb as much as 105% from current levels over the next 12 months.
The most optimistic price target on the Street sits at $43, pointing to a potential upside of 153% for investors willing to hold through the volatility and uncertainty that defines this early-stage sector.
