Recommendations for Federal Quantum Computing Investment

Published: October 25, 2023

Federal Market AnalysisBig DataDOEForecasts and SpendingInformation TechnologyNISTNSFPolicy and LegislationResearch & Development

Federal funding for quantum is expected to grow in the years to come.

Quantum computing is a strange subject. Still inhabiting the realm of the theoretical, no one has developed a working quantum computer, and yet the very thought of quantum is stimulating angst about the impact it will have on breaking current encryption models. Conversely, its potential to take artificial intelligence and other technologies to the next level is stimulating a lot of excitement. Today’s post examines a series of quantum-related recommendations put out by the Center for Data Innovation (CDI). The CDI put these out a couple of weeks ago, and if they are adopted, they could stimulate a lot of new funding for quantum on the federal level. Industry partners working on quantum should therefore pay attention to what the CDI is suggesting.

The CDI’s recommendations are below. I’ve added a few thoughts about the impact for industry where applicable.

  • Reauthorize the National Quantum Information Act (NQIA) and appropriate at least $525M per year (in addition to the CHIPS funding) for FY 2024 to FY 2028. Analyst note – A lot of this should be contractor-addressable.
  • Fully fund the quantum user expansion for science and technology (QUEST) program authorized by the CHIPS and Science Act to improve researcher accessibility to U.S. quantum computing resources.
  • Establish a quantum infrastructure program within the Department of Energy (DOE) to help meet the equipment needs of researchers as part of the reauthorization of the NQIA. Analyst note – Presumably, also contractor-addressable.
  • Fully fund the National Science Foundation (NSF) Quantum Education Pilot Program authorized in the CHIPS and Science Act, which would allocate $32M over the next five years to support the education of K-12 students and the training of teachers in the fundamental principles of QIS.
  • Direct NSF to collaborate with NIST to conduct a systematic study of quantum workforce needs, trends and education capacity. Analyst note – Considering the difficulty agencies are having finding skilled employees for ordinary IT jobs, this recommendation suggests contractor-provided personnel will become increasingly important.
  • Authorize and fund a DOE-led training program that partners students studying toward bachelor’s, master’s, or Ph.D. degrees with DOE national labs for hands-on QIS experience.
  • Direct the Department of Commerce to work with the Quantum Economic Development Consortium (QED-C) to review the quantum supply chain and identify risks.
  • Direct and fund the recently established Directorate for Technology, Innovation, and Partnerships within NSF to establish quantum testbeds for use-inspired research. Analyst note – The NSF could contract for testbeds such as these to be created.
  • Direct DOE to establish and lead a program that invites allied nations to co-invest in quantum moonshots.
  • Direct NIST to prioritize promoting U.S. participation, particularly from U.S. industry stakeholders, in international standards fora in the reauthorization of the NQIA.

Wrapping up, I'll leave off with the FY 2023 quantum-related budgets for NQIA agencies.

As we can see, they totaled more than $600M last fiscal year. If Congress sustains these budgetary levels then the quantum field promises to provide many opportunities in the years to come.