Quantum Computing Market Set to Grow 25x in 10 Years

The quantum computing market is set to grow from $1.1 billion in 2023 to $28.2 billion in 2033 at a compound annual growth rate of 37.7%, a new Omdia report has found.

The report, Quantum Computing Market Landscape – 2024 Analysis, is circumspect about the current early-stage quantum landscape, saying that current deployments are for experimental, rather than operational, purposes.

Quantum computers will not replace classical computers in all instances but they could be a revolutionary accelerator for a limited set of computational tasks that are currently often processed on classical high-performance computers, report author Sam Lucero says.

The main use case areas are physically simulating quantum mechanical systems – with key applications in areas such as drug discovery and materials science systems – combinatorial optimization and quantum machine learning.

The quantum computing vendors Omdia surveyed for the report said that the three most attractive vertical market segments for quantum computing are chemicals and materials, financial services and life sciences.

Adopters in the chemicals, materials and life sciences fields will likely benefit from quantum algorithms for physically simulating quantum mechanical systems. Those in financial services are exploring use cases such as portfolio optimization, fraud detection and generating synthetic data.

Related:Real-Life Use Cases Demonstrate Useful Quantum is Closer Than Expected

However, the report cautions that fault-tolerant quantum computers will take at least another five to seven years to develop. Quantum computing is predicted to deliver economic advantages, such as solving problems faster or delivering better results.

One example is quantum machine learning, which is predicted to deliver greater accuracy and training efficiencies compared with classical approaches. The report recommends that quantum computing adopters recognize non-speedup advantages for certain types of quantum machine learning applications such as improved quality of results.

Download the report here: Quantum Computing Market Landscape – 2024 Analysis.