Quantum Computing Emerges as Critical Deep Tech Investment Priority
Europe quantum computing funding reached unprecedented levels in 2025, positioning the continent as a serious contender in the global race to build fault-tolerant quantum computers. As part of the broader deep tech sector that, combined with AI, captured 36% of all European venture capital in 2025, quantum computing attracted hundreds of millions in strategic sovereign and private funding as governments and investors recognised its critical importance for future technological sovereignty.
According to the State of European Tech 2025 report by Atomico and industry data, quantum computing stands alongside AI and defence technology as one of the breakout investment themes of the year. The sector benefited from geopolitical shifts driving European governments to prioritise domestic quantum capabilities, the launch of strategic initiatives like the NATO Innovation Fund, and growing recognition that quantum computers will eventually transform fields from cryptography to drug discovery.
European startups captured 47.5% of global quantum venture funding in Q1 2025, a 16.5% increase from the previous year, demonstrating the continent’s strengthening position despite historically receiving less investment per company than North American counterparts. Finland’s IQM Quantum Computers led the charge with a record €275 million Series B, whilst France’s Alice & Bob secured €100 million, signalling Europe’s determination not to fall behind in what many consider the next major computing revolution.
Top 10 European Quantum Computing Companies by Funding in 2025
1. IQM Quantum Computers (Finland): €275 Million Series B + €40 Million Expansion
Location: Espoo, Finland (headquarters), with presence in France, Germany, Italy, Japan, Poland, Spain, Singapore, South Korea, and United States
Funding: €275 million ($320 million) Series B (September 2025) + €40 million expansion funding (December 2025)
Total 2025 Funding: €315 million
Valuation: Over $1 billion
Lead Investor: Ten Eleven Ventures (US)
IQM Quantum Computers raised the largest quantum computing Series B round ever completed in Europe and outside the United States in September 2025, cementing its position as Europe’s flagship quantum computing company. The €275 million round was led by Ten Eleven Ventures, a US-based cybersecurity-focused investment firm marking IQM’s first American investor, with significant participation from existing Finnish investor Tesi, pension funds Elo and Varma, strategic investors from Germany’s Schwarz Group and Taiwan’s Winbond Electronics, and sovereign wealth funds including the European Innovation Council and Bayern Kapital.
Just three months later in December 2025, IQM secured an additional €40 million to expand its quantum chip production capacity in Finland, bringing the company’s total 2025 Europe quantum computing funding to €315 million and aggregate capital raised since founding to over €550 million.
Founded in 2018 as a spinoff from Finland’s VTT Technical Research Centre by Jan Goetz, Mikko Möttönen, Kuan Yen Tan, and Juha Vartiainen, IQM develops full-stack superconducting quantum computers for research centres, universities, and enterprises. The company operates its own chip manufacturing facility in Espoo, producing up to 20 quantum computers annually, and has sold over 30 systems, claiming to have delivered more quantum computers than any competitor in the past 12 months.
IQM’s technology portfolio includes the Radiance 54-qubit quantum computer sold to large supercomputing centres for up to €30 million, the Radiance Star 24-qubit system featuring IQM’s proprietary star topology, and a 150-qubit version under development. In collaboration with VTT, IQM launched Europe’s first 50-qubit superconducting quantum computer in 2025, a crucial milestone as it crosses the threshold where quantum computers can theoretically perform calculations beyond classical computers’ capabilities.
The company’s ambitious roadmap targets fault-tolerant quantum computing by 2030, scaling from thousands to one million qubits paired with quantum error reduction and correction. Co-CEO Jan Goetz explains: “This funding round will fuel our company growth, with an accelerated tech roadmap towards error corrected systems from thousand to million qubits. We also focus on strong business expansion in the US and other global markets based on our attractive on-premises offerings for quantum computers.”
IQM emphasises its competitive advantages: self-manufactured quantum processors claimed to be “the fastest, highest-quality, and most stable” available, integrated manufacturing enabling rapid iteration and quality control, and hybrid deployment options offering both on-premises systems and cloud access through the Resonance platform. The company serves customers across scientific computing centres, pharmaceutical companies, logistics firms, financial institutions, and security organisations, with particular traction in cybersecurity applications given quantum computing’s potential to both threaten and enhance encryption systems.
A remarkable technical achievement came in March 2025 when IQM announced one of its quantum computers operated for over 100 days without human intervention at a customer site, demonstrating exceptional system reliability that addresses a key barrier to commercial adoption.
2. Alice & Bob (France): €100 Million Series B
Location: Paris, France (headquarters) with operations in Boston, USA
Funding: €100 million ($104 million) Series B (January 2025)
Total Raised: €130 million
Lead Investor: Bpifrance Large Venture
Paris-based Alice & Bob raised €100 million in Series B funding in January 2025, one of the largest quantum computing rounds in European history. The round was led by Bpifrance Large Venture with participation from Supernova Invest, Breega, Elaia, Demeter, BNP Paribas Digital Transformation, and Région Île-de-France.
Founded in 2020 by Théau Peronnin and Raphaël Lescanne, Alice & Bob takes a fundamentally different approach to quantum computing by pioneering “cat qubits”, a novel qubit technology that dramatically reduces the number of physical qubits required to build a fault-tolerant logical qubit. The company’s name references the hypothetical characters used in quantum mechanics thought experiments, reflecting the founders’ academic backgrounds and the company’s research-driven culture.
Cat qubits represent a breakthrough in addressing quantum computing’s most fundamental challenge: errors caused by quantum decoherence and noise. Traditional approaches require approximately 1,000 physical qubits to create a single reliable logical qubit through complex error correction codes. Alice & Bob’s cat qubit technology reduces this ratio by a factor of 60, requiring only 16 physical qubits per logical qubit, dramatically lowering the hardware requirements and costs for building useful quantum computers.
The €100 million Series B will fund the company’s roadmap to build the world’s first universal, fault-tolerant quantum computer. Specific priorities include scaling up from laboratory demonstrations to manufacturable systems, expanding the team beyond its current 95+ employees to accelerate development, building partnerships with potential customers across pharmaceutical, materials science, and cryptography sectors, and establishing the infrastructure needed to transition from research prototypes to commercial products.
Alice & Bob also secured a €16.5 million grant from France’s 2030 innovation programme in 2024 for the “Cat Factory” project in collaboration with ENS de Lyon and Mines Paris-PSL. This publicly-funded research programme focuses on optimising the entire quantum computing stack, reducing the number of control lines per cat qubit from 4.5 to 2 and readout lines from 1 to 0.2, making quantum computers ten times cheaper to build and accelerating market readiness by three years.
3. Oxford Quantum Circuits (United Kingdom): Previously Raised $100 Million+ (2023)
Location: Reading/Thames Valley, United Kingdom
Previous Major Round: $100 million Series B (July 2023)
Total Raised: Over $150 million
Whilst Oxford Quantum Circuits (OQC) didn’t announce a major funding round specifically in 2025, the company deserves recognition as one of Europe’s most-funded quantum computing companies and a leading competitor to IQM. The Thames Valley-based startup raised over $100 million in Series B funding in July 2023, positioning it alongside IQM and Alice & Bob as one of Europe’s quantum computing champions.
Founded in 2017 by Professor Peter Leek and Dr Ilana Wisby as a spinout from Oxford University’s physics department, OQC develops superconducting quantum computers with a focus on making quantum computing accessible through cloud platforms. The company was the first European quantum computing company to offer public cloud access to quantum computers, launching commercial services in 2021.
OQC’s Toshiko platform provides enterprise access to quantum computing capabilities without requiring on-premises hardware installation. The company emphasises ease of integration with existing cloud infrastructure, enabling organisations to experiment with quantum algorithms alongside classical computing workloads. This hybrid approach addresses near-term practical applications whilst the technology matures toward fault tolerance.
The company’s technology employs a coaxmon qubit architecture, a variant of superconducting transmon qubits optimised for scalability and reduced crosstalk between qubits. OQC claims its approach enables higher qubit connectivity compared to competing architectures, allowing quantum circuits to run more efficiently by reducing the number of SWAP operations required to implement algorithms.
OQC serves customers across pharmaceutical research, financial services, aerospace, and national security sectors. The company has established partnerships with Amazon Web Services, providing quantum computing capabilities through AWS Braket, and collaborates with academic institutions across Europe. These partnerships provide both revenue and crucial feedback for improving quantum hardware and software interfaces.
The Series B funding supports OQC’s roadmap to scale qubit counts, improve system performance through lower error rates and longer coherence times, and expand quantum cloud services globally. The company aims to demonstrate “quantum advantage”, where quantum computers solve practical problems faster than classical supercomputers, within the current decade.
4. Pasqal (France): Previously Raised $109 Million (2023)
Location: Paris, France
Previous Major Round: €100 million ($109 million) Series B (January 2023)
Total Raised: Over €140 million
Pasqal represents France’s other quantum computing champion alongside Alice & Bob, taking a distinctly different technological approach using neutral atom quantum computers. Founded in 2019 by Georges-Olivier Reymond, Alain Aspect (2022 Nobel Prize laureate in physics), and other researchers from the Institut d’Optique, Pasqal develops quantum processors based on arrays of neutral atoms trapped and manipulated by laser beams.
The company raised €100 million in Series B funding in January 2023 led by Wa’ed Ventures (the venture arm of Saudi Aramco) with participation from the European Innovation Council, BNP Paribas via its private equity division Bpifrance, and existing investors including Quantonation, Daphni, and Runa Capital. This substantial round positioned Pasqal to compete globally whilst establishing Europe’s credibility in alternative quantum computing architectures.
Neutral atom quantum computing offers distinct advantages compared to superconducting approaches pursued by IQM, OQC, and many US competitors. The technology enables hundreds of qubits to be arranged in arbitrary 2D and 3D configurations, providing exceptional connectivity compared to fixed-layout superconducting systems. Neutral atoms are identical by nature, eliminating manufacturing variations that affect superconducting qubits. The systems also operate at higher temperatures than superconducting quantum computers (though still requiring substantial cooling), potentially reducing operational costs.
Pasqal’s quantum computers are particularly well-suited for optimisation problems common in logistics, supply chain management, and drug discovery. The company has deployed quantum computers to customers including BMW (for optimisation algorithms), EDF (energy optimisation), and various pharmaceutical companies exploring molecular simulation applications.
The company announced plans to build a quantum computer exceeding 10,000 qubits by 2026, representing one of the most ambitious near-term scaling goals in the industry. Achieving this qubit count would position Pasqal’s systems amongst the largest quantum computers globally, though critics note that absolute qubit count matters less than error rates and connectivity for determining computational capability.
Pasqal has also positioned itself at the intersection of quantum computing and artificial intelligence, exploring how quantum processors might accelerate machine learning algorithms. This positioning proves strategically astute given the extraordinary investment flowing into AI, potentially creating synergies between Europe’s two most-funded deep tech sectors.
5. Multiverse Computing (Spain): €189 Million Series B (Quantum-AI Hybrid)
Location: San Sebastián, Spain
Funding: €189 million Series B (June 2025)
Category: Quantum software and quantum-classical hybrid
Whilst Multiverse Computing appears in the AI funding article due to its hybrid quantum-AI positioning, the company deserves equal recognition as a Europe quantum computing funding recipient. Based in San Sebastián’s Basque Country, Multiverse combines quantum computing and artificial intelligence to solve complex optimisation and simulation challenges across finance, logistics, and energy sectors.
Founded in 2019 by Enrique Lizaso Olmos and Samuel Mugel, Multiverse Computing provides software that enables organisations to harness quantum computing capabilities today, even whilst quantum hardware remains in early stages. The company’s Singularity platform allows users to run quantum-inspired algorithms on classical computers or execute true quantum algorithms on available quantum hardware from partners including IBM, IonQ, and others.
The €189 million Series B in June 2025 validates Multiverse’s strategy of building the quantum software layer and quantum-classical hybrid approaches rather than manufacturing quantum hardware. This focus proves particularly attractive to investors as it sidesteps the enormous capital requirements and technical challenges of building quantum computers, whilst still capturing value from the quantum computing market opportunity.
Multiverse Computing serves financial institutions using quantum-inspired optimisation for portfolio management and risk analysis, logistics companies optimising routing and scheduling, energy companies improving grid management and renewable integration, and pharmaceutical companies accelerating molecular simulation and drug discovery. The company claims its solutions deliver measurable benefits today using quantum-inspired algorithms, whilst positioning customers to immediately leverage true quantum computers when they achieve sufficient capability.
The Spanish success story demonstrates that Europe quantum computing funding extends beyond traditional centres like Paris and London to wherever strong technical talent and research institutions exist. San Sebastián’s proximity to strong physics and mathematics programmes at the University of the Basque Country has provided Multiverse with talent, whilst Spanish government support for quantum research through programmes like Quantum ENIA provides ecosystem advantages.
6. Riverlane (United Kingdom): $75 Million Series C
Location: Cambridge, United Kingdom
Funding: $75 million Series C (May 2024)
Total Raised: Over $100 million
Cambridge-based Riverlane raised $75 million in Series C funding in May 2024, one of the largest rounds for a quantum software company globally. The round was led by Planet First Partners with participation from existing investors including Amadeus Capital Partners, Altair, QTOP (a fund backed by Arm co-founder Hermann Hauser), and European Innovation Council.
Founded in 2016 by CEO Steve Brierley, a Cambridge University mathematics professor, Riverlane takes a fundamentally different approach from quantum hardware companies. Rather than building quantum computers, Riverlane develops the critical error correction technology required to make quantum computers reliable enough for practical use.
Quantum error correction represents the single greatest challenge facing the industry. Quantum bits are extraordinarily fragile, losing their quantum properties (decoherence) and accumulating errors within milliseconds. All current quantum computers are “noisy intermediate-scale quantum” (NISQ) devices too error-prone for most practical applications. Achieving “fault-tolerant” quantum computers where error rates drop low enough for reliable computation requires sophisticated error correction running in real-time.
Riverlane’s Deltaflow.OS quantum error correction stack provides the essential software layer sitting between quantum hardware and applications. The system monitors qubits continuously, detects errors as they occur, and implements corrections faster than errors accumulate, stabilising quantum computations. This real-time error correction requires processing massive data volumes at microsecond latencies, problems Riverlane addresses through specialised algorithms and custom silicon.
The company partners with essentially every major quantum computing hardware developer globally, positioning Riverlane’s error correction technology as infrastructure analogous to how operating systems enable classical computers. Partnerships span superconducting quantum computers (IBM, Rigetti, IQM), trapped ion systems (IonQ, Quantinuum), and alternative architectures, making Riverlane’s technology hardware-agnostic.
The €75 million Series C funding accelerates development of error correction capabilities and supports scaling the engineering team. Riverlane aims to demonstrate “MegaQuOp” performance (one million reliable quantum operations per second with error correction active) as a key milestone toward fault tolerance. Achieving this would provide concrete evidence that quantum error correction can scale to the performance levels required for practical quantum computing.
7. Qu & Co (Netherlands): Acquired by Pasqal (2022) – Ongoing European Integration
Location: Amsterdam, Netherlands (now integrated into Pasqal)
Previous Funding: Undisclosed venture rounds before acquisition
Whilst Qu & Co no longer operates as an independent entity following its acquisition by Pasqal in 2022, the company’s story illustrates important dynamics in Europe quantum computing funding and ecosystem development. Founded in 2017 by Romano Ruisman and others, Qu & Co developed quantum algorithms and software for chemistry and materials science applications.
The acquisition by Pasqal represented strategic consolidation within the European quantum ecosystem, combining Qu & Co’s algorithm and software expertise with Pasqal’s neutral atom hardware. This vertical integration enables Pasqal to offer complete solutions from hardware through algorithms to end-user applications, strengthening the company’s competitive position against vertically-integrated US competitors.
The deal demonstrates that European quantum companies are increasingly willing to consolidate rather than competing fragmented against larger US and Chinese players. Similar strategic combinations may accelerate as the quantum computing industry matures and capital requirements for competing at scale increase.
8. Planqc (Germany): €50 Million Series A
Location: Munich, Germany
Funding: €50 million Series A (October 2024)
Lead Investor: DeepTech & Climate Fonds (DTCF)
Munich-based Planqc raised €50 million in Series A funding in October 2024, positioning the company as Germany’s leading quantum computing startup. The round was led by the DeepTech & Climate Fonds (DTCF), a German government-backed investment vehicle, with participation from the European Innovation Council, UVC Partners, and Bayern Kapital, demonstrating strong public-private collaboration supporting German quantum capabilities.
Founded in 2022 by Alexander Glätzle, Sebastian Blatt, and other researchers from the Max Planck Institute of Quantum Optics, Planqc develops neutral atom quantum computers similar to Pasqal’s technological approach. The company’s founding team includes world-leading experts in quantum physics and neutral atom manipulation, providing strong technical credibility.
Planqc’s technology employs arrays of single atoms trapped in optical tweezers (focused laser beams), arranged in programmable 2D and 3D geometries. This approach enables hundreds of qubits with flexible connectivity, well-suited for quantum simulation and optimisation algorithms. The company emphasises developing quantum computers optimised for specific application domains rather than pursuing general-purpose quantum computing initially.
The €50 million Series A supports building Planqc’s first commercial quantum computers, establishing partnerships with potential customers, and scaling the team. The company aims to deploy quantum computers to customers in 2025-2026, competing directly with Pasqal in the European neutral atom quantum computing market.
Germany’s substantial public funding for Planqc reflects the country’s quantum strategy emphasising domestic capabilities across multiple technological approaches. By supporting both superconducting quantum computing (through customers like IQM) and neutral atom alternatives (through Planqc), Germany hedges against technological uncertainty whilst building a comprehensive quantum ecosystem.
9. Nord Quantique (Canada/Europe Collaboration): €15.5 Million Series A
Location: Sherbrooke, Quebec, Canada (with European operations and investors)
Funding: €15.5 million ($16.8 million CAD) Series A (March 2024)
European Investors: Quantonation (France-based quantum VC)
Whilst headquartered in Canada, Nord Quantique deserves mention due to significant European investor participation and its technological relevance to the European quantum ecosystem. The company raised €15.5 million in Series A funding in March 2024 led by Quantonation, France’s specialised quantum technology venture capital firm, alongside Canadian investors.
Founded in 2020 by Julien Camirand Lemyre and Philippe St-Jean as a spinout from Université de Sherbrooke, Nord Quantique develops superconducting quantum computers using a novel error-mitigation approach. The company’s technology employs continuous quantum error correction at the hardware level, addressing errors before they propagate through quantum circuits.
The involvement of Quantonation, Europe’s leading quantum-focused VC firm, reflects the increasingly transnational nature of quantum computing investment. European quantum investors recognise that technological leadership may emerge from anywhere, whilst North American companies seek European capital and market access. This cross-pollination strengthens the global quantum ecosystem whilst providing European investors exposure to promising quantum technologies regardless of geographic origin.
10. Qblox (Netherlands): Strong Private Funding (Exact Amounts Undisclosed)
Location: Delft, Netherlands
Funding: Multiple private rounds, exact amounts undisclosed
Focus: Quantum control electronics
Delft-based Qblox provides quantum control and readout electronics essential for operating quantum computers across all hardware architectures. Founded in 2019 as a spinout from QuTech (joint venture between TU Delft and TNO), Qblox manufactures modular electronics systems that generate the precise signals required to manipulate qubits and read their states.
Whilst Qblox hasn’t publicly disclosed large funding rounds comparable to hardware companies, the firm has secured substantial private funding enabling rapid growth serving quantum computing companies globally. The company’s customers include IQM, OQC, and numerous other quantum hardware developers requiring high-performance control electronics.
Qblox’s success illustrates that Europe quantum computing funding extends beyond companies building complete quantum computers to the essential infrastructure and component suppliers. Building a complete quantum computing ecosystem requires excellence across the entire supply chain, from cryogenics (Finland’s Bluefors leads globally) to control electronics (Qblox) to software and algorithms (Riverlane, Multiverse).
The Netherlands has established itself as a European quantum computing hub through QuTech’s world-class research, government support through programmes like the National Quantum Technology Agenda, and successful spinouts like Qblox demonstrating that foundational research translates into commercial success.
Also Read: Europe AI Funding 2025: Top 10 Companies That Raised Record Investment
Challenges Facing European Quantum Computing
Despite strengths, European quantum computing companies confront significant obstacles competing globally:
- Funding Gap: North American quantum companies raise nearly three times more capital on average (€38 million) compared to European counterparts (€12 million). This funding disparity limits European companies’ ability to scale manufacturing, hire competitively, and sustain long development timelines.
- Manufacturing Scale: Building quantum computers requires substantial capital investment in cleanrooms, specialised equipment, and production infrastructure. European companies struggle matching the manufacturing scale of well-funded US competitors with access to larger capital pools.
- Cloud Integration: US tech giants (Amazon, Microsoft, Google, IBM) integrate quantum computing into their massive cloud platforms, providing distribution advantages European startups cannot match. Whilst companies like IQM and OQC offer cloud access, they lack the customer bases and ecosystem integrations of hyperscalers.
- Talent Competition: Despite improvements, quantum researchers still frequently choose higher-compensation positions at US companies over European startups. Brain drain to Silicon Valley, though reduced, continues affecting European quantum companies’ ability to assemble world-class teams.
- Fragmented Markets: European quantum companies face fragmented markets across EU member states with varying regulations, procurement processes, and language barriers. US competitors serve a unified domestic market of similar size before expanding internationally.
- Exit Limitations: The absence of European tech giants comparable to American hyperscalers limits acquisition opportunities. Most major exits involve US acquirers, potentially undermining strategic autonomy goals driving European quantum investment.
Also Read: Europe Deep Tech Funding 2025: Defence and Quantum Lead Investment Surge
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