Quantum Computing in Business: Risk or Reward?

As a rapidly growing market, McKinsey & Partners estimate that quantum computing will have a global market value of USD 1 trillion by 2035. In fact, more business leaders are considering the use of quantum computing, with 81% of senior executives expecting it to impact their industry, according to EY’s Quantum Readiness Survey. Almost half also believe that quantum technology will start to transform industries as early as 2025.  

This trajectory is supported by Gartner’s prediction that 20% of organizations will budget for quantum computing projects by 2023, compared to less than 1% today. This means that quantum consulting as a service will also see a rise as organizations try to leverage quantum computing to extract a business advantage. 

The question still remains as to what kind of benefits quantum computing can bring and how it will impact businesses going forward. To iron out these mysteries, we spoke to Dr. Angie Qarry, a quantum physicist and entrepreneur during the ME Business Buzz Outlook session, The Mystery of Quantum Computing: Will It Boost Industrial Innovations & Change The Way Businesses Operate? 

   

Quantum technology is for optimization

 

Speaking on how quantum computing can apply in the business world, Dr Qarry explained that it will be about using the technology to optimize or improve upon existing processes by applying quantum algorithmic thinking to solve problems. 

“It’s just thinking differently about computability. Taking this problem that you have and thinking differently in order to take advantage of this computability,” she said.  

While there is hope that quantum computing can solve many of the current optimization problems, Dr Qarry cautioned that we must be careful with this thinking: “We can have an advantage only in the class of problems that quantum computing can solve. The technology cannot solve all the problems on earth, because these problems fall in a class of problems that do not have an efficient solution.” 

Once that is understood, business leaders may consider how this technology can solve certain optimization problems within their organizations to give them a business advantage.  

“The moment you start to accept and learn about emergent technology, or adopting it in your business use case, you will have the advantage when the technology is ready,” said Dr Qarry. 

Citing an example, Dr Qarry shared BMWs usage of quantum technology to discover optimal sensor positioning for their automated vehicles. This is an optimization problem that quantum computing can solves – finding the best position for each sensor while limiting interference. 

   

Building a quantum-ready workforce 

 

As with any emergent technology, there is a lack of talent in the current pool. On the question of what organizations can do to build a quantum-ready workforce, Dr Qarry suggested two pathways.  

First is to think about how to build internal quantum teams. Specifically, a quantum computer lead who understands the technology on a hardware level as well as quantum computer engineers and software engineers who will be able to run the circuit and applications.  

The other option is to simply outsource the talent.  

“What you need are thinkers who can map your business to the application, and then run it. This is a skill in itself,” noted Dr Qarry. She added that to start off, it may be easier for businesses to outsource this while building their own quantum team.  

However, she advised looking at this in a broader view. It’s not just about building a workforce to run new equations – it’s about building a new workforce for a new computability area.   

 

Security risks of quantum technology 

 

One of the main concerns with the advancement of quantum technology is the security risk it poses. The United States Department of Commerce’s National Institute of Standards and Technology (NIST) announced in mid-2022 that it has chosen the first group of encryption tools designed to withstand attacks from quantum computer in the future.  

Apart from network security, quantum technology also poses a threat to certain aspects of blockchain technology, and therefore cryptocurrency. Specifically, Dr. Qarry singled out the risk to signature schemes in blockchain technology that are needed for authentication before a transaction. Though some cryptocurrencies are trying to stay ahead of the curve by adopting signature algorithms that are quantum resistant for now, it is a race.  

On the other hand, Dr. Qarry also noted that quantum computing can help cryptocurrency by providing quantum verification. As with any emergent technology, it works both ways.  

 

Can quantum computers change the world? 

 

Though quantum computers have the potential to solve many problems, scaling remains a challenge due to issues like fault tolerance and error correction. This is one of the reasons sceptics don’t think the technology will ever scale.  

However, Dr. Qarry is more optimistic. She said, “In 25 years, we have increased the lifetime of a qubit from nanoseconds to 10s of milliseconds. In 25 years, we already have 127 qubit with IBM and 2,003 with D-Wave. So there is huge progress even if the technological or engineering aspects are extremely challenging.” 

As an emergent technology, quantum computing has the potential for major social impact. In fact, it may not even need to succeed in achieving a specific technological level in order to see the social impact.  

Dr Qarry added: “It’s in the development phase and there will be huge social impact if it scales. We’ll never know if we stop now.” 

Addressing business leaders, Dr Qarry said that waiting to invest only when the technology is ready may be too late.  

“Those that entered earlier have already prepared all the algorithms and applications to be ready with just one click, giving them the business advantage. So it depends on your level of risk-taking and how you accept emerging technologies.”