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Big Tech’s Quantum Computing Race: One Small Cap Stock Poised for Explosive Growth

Hannah Perry | March 13, 2025

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Big Tech’s Quantum War Has Begun — and One Tiny Stock Could Win It

Key Takeaways

  • Google, Amazon, and Microsoft are leading the quantum computing race with new chips.
  • Quantum transistors could revolutionize computing, much like the invention of electricity.
  • NVIDIA is investing billions into quantum startups, signaling a major industry shift.
  • A small-cap company could be key to NVIDIA’s “Q Day” quantum breakthrough.
  • Investors should watch for NVIDIA’s March 20 announcements.

The Rise of Quantum Computing

Tech revolutions often begin slowly, only to eventually transform the world in unforeseen ways. The journey of electricity is a prime example; while lightning was observed for centuries, it took human ingenuity to harness it effectively. The first electric motor emerged in 1871, yet it was not until 76 years later that transistors became the groundbreaking technology that unlocked the full potential of electricity. Quantum computing appears to be on a comparable trajectory.

In 1955, physicist Louis Essen constructed the first operational quantum machine—the cesium atomic clock—which famously showcased the phenomenon of superposition, demonstrating how atoms can exist in multiple states at once. Today, quantum computing is approaching a pivotal moment, with several companies racing to invent the first practical quantum transistor that could catalyze a new era of computing.

Big Tech’s Quantum Chips

Three major players are competing to rise above the fray in the quantum computing landscape:

1. Alphabet (Google) – The Workhorse

Alphabet has established transmon qubits as the industry standard for quantum chips. The company’s Sycamore chip, introduced in 2019, utilized 54 qubits, while its latest Willow chip, set to debut in 2023, integrates 105 qubits with enhanced coherence time of 68 microseconds. However, challenges abound, and millions of qubits will be necessary to enable real-world applications.

2. Amazon – The Experimental Play

Amazon is pushing boundaries with its upcoming Ocelot chip, expected in 2024, which leverages “cat qubits.” These innovative devices store quantum information within microwave cavities rather than traditional superconducting circuits. Cat qubits exhibit lower error rates (1 in 100,000 bit-flip errors) and can maintain coherence for up to 1 millisecond, though they struggle with phase-flip discrepancies. By combining transmon qubits with cat qubits for error correction, Amazon aims to tackle scalability obstacles, though significant hurdles remain.

3. Microsoft – The Dark Horse

Microsoft is currently focused on its Majorana 1 chip, slated for release in 2024, which employs “topological qubits.” This approach allows quantum data to be distributed across surfaces, simplifying the scalability transition from dozens to millions of qubits while potentially minimizing errors. However, topological qubits are still largely unproven, and a working quantum processor from Microsoft remains a work in progress.

NVIDIA’s Quantum Strategy

NVIDIA views quantum computing as both a potential threat and an opportunity. Traditional semiconductor chips struggle with complex tasks such as 3D modeling and encryption, but quantum chips offer the prospect of solving these problems instantaneously. To remain competitive, NVIDIA is pouring billions into quantum startups, signaling a notable shift in the industry’s landscape.

Anticipation is swirling around NVIDIA’s upcoming announcement on March 20, which may lead to significant market implications for its key quantum partners. Industry watchers speculate that this revelation could trigger a surge in the stock price of a small-cap company linked to NVIDIA’s quantum strategy, intriguing investors looking for opportunities in this cutting-edge field.

The Investment Opportunity

A small-cap firm, fortified by 102 patents, is highlighted as potentially critical to NVIDIA’s quantum ambitions. With the entire industry on the cusp of a major breakthrough, all eyes will be on NVIDIA’s “Q Day” on March 20. This date is expected to herald game-changing developments that may significantly impact the landscape of quantum computing and offer lucrative investment possibilities for savvy investors.

As the competition heats up between tech giants, understanding the dynamics that underpin quantum computing not only elucidates the future of computing technology but also provides a unique vantage point for investors seeking to capitalize on groundbreaking innovations. The race is on, and staying informed will be paramount for those looking to profit from this transformative journey.