Quantum computers have enormous potential to solve problems that are too complex for conventional computers, such as simulating molecules, optimizing logistics in real time or protein folding. Quantum computers are not yet fundamentally ahead of conventional computers – general quantum superiority is still a dream of the future.
Nevertheless, quantum computers can already be useful today. Thanks to constantly improving error correction and a growing quantum software stack, the so-called “quantum utility” is increasingly emerging. Quantum utility – i.e. practical added value for specific applications in science and business – is influencing current developments in the entire quantum industry.
The Quantum Utility is growing – also thanks to conventional computers
While quantum utility means that a quantum system achieves a practical benefit, quantum superiority is about outperforming classical supercomputers in all tasks. It will be some time before quantum utility is ubiquitous. However, the first significant applications are already foreseeable. This can be seen in successful pilot projects, such as the quantum program for optimizing the architecture of electrical and mechanical systems, which BMW developed together with Nvidia and Classiq.
Quantum utility will be particularly useful in hybrid systems that use both classical and quantum computers. In such systems, quantum processors perform certain tasks, while classical computers carry out the majority of the calculations. In this way, the currently still limited quantum computing resources can be used strategically and appropriately.
However, a major challenge will be to distinguish between real breakthroughs and exaggerated claims. The world of quantum computing is characterized by real progress, but also by exaggerated claims. One example of this is a misleading research report from China that claimed to have cracked military-grade encryption using quantum technology. As quantum computers receive more and more media attention, careful validation and transparency are essential to maintain credibility – quantum computing companies are challenged accordingly.
Quantum computers are becoming more accessible – more industries will experiment
The increasing quantum utility reinforces the growing democratization of access to quantum computing. More and more companies and research institutions are identifying tangible added value from quantum computing in their use cases, which is further increasing the demand for access.
The initiatives of the United Nations for the “International Year of Quantum Science and Technology” in 2025 promote this democratization. The aim is to give a wider range of companies, academic institutions and research centers access to quantum computing resources alongside large multinational corporations. This will drive innovation in various fields and lead to new, experimental applications of quantum technology.
Educational institutions will play a crucial role in this democratization by developing quantum computing curricula to train the next generation of quantum scientists and engineers. A lower entry threshold to quantum technologies will encourage innovation and the training of skilled workers.
Increased access to quantum computers is also beneficial for the development of new quantum applications. Traditional sectors such as finance and pharmaceuticals will benefit from this, but other industries will also take the initiative.
More government investment and more specific regulations
With the tangible added value of quantum utility in mind, governments around the world will increasingly participate in the quantum industry. They are driven by both new opportunities and concerns.
The impact of quantum computing on national security, particularly in cryptography, will prompt governments to increase their investment in quantum research and development. The incoming US administration is expected to increase its efforts in quantum computing to maintain its technological leadership over China. Despite the early federal elections in Germany, it can be assumed that funding for local quantum initiatives will continue in 2025, especially those that promote the development of local quantum ecosystems such as “QuantumBW” in Baden-Württemberg.
On the US side, the Biden administration has already launched major initiatives to assess the timetable for building practical quantum computers. In doing so, agencies like DARPA set ambitious goals for technological breakthroughs by 2035. The European Union, China and other nations will also expand their quantum strategies to remain competitive in this critical technology sector.
Increased government funding will be accompanied by stricter regulation. Governments around the world will introduce stricter regulations and standards to ensure the security and ethical use of quantum technologies, particularly in areas such as national defense, finance and healthcare. Quantum-safe encryption designed to withstand quantum-based attacks will become a priority for national security agencies around the world.
The trend is towards on-premise quantum computers
The growing quantum utility is increasing the demand for on-premise installations. As companies increasingly benefit from quantum computing in practice, operating a quantum system directly on site is becoming more attractive. This shift in focus away from cloud solutions marks the maturity that quantum technology has now reached – with reliability and usability being the cornerstones.
An important factor for this change is that the quality of the individual qubits is more relevant than their pure quantity. In recent years, the quantum industry has made progress in error correction. This is a crucial area of research that enables quantum computers to remain coherent and perform reliable computations. Further improvements in noise suppression and error rates of quantum hardware can be expected, making quantum computations more reliable and efficient.
Experiments and developments in real environments thus become more feasible and relevant. This will enable companies to better understand the practical applications of quantum technology for their specific needs. Industries that rely on high-performance computing, such as finance, logistics and materials science, will begin to integrate quantum systems into their existing infrastructures to fully utilize their computing resources.
Unlocking the potential of Quantum Utility
Current developments show that science and industry do not have to wait for quantum supremacy to access specific benefits from quantum computing. Greater government investment, improved accessibility and a growing appetite for experimentation will lead to innovation in various industries.