Shares of quantum computing companies were a rare bright spot amid a tumultuous market Tuesday, surging after President Trump signed two executive orders aimed at maintaining U.S. dominance in the emerging technology.
The orders gave a jolt to a sector that has long promised transformational breakthroughs but has struggled at times to convince investors that a commercial payoff is near.
Trump’s orders may help accelerate that timeline, at least according to some of the industry’s main players.
Infleqtion CEO Matthew Kinsella, who attended Monday’s signing of the executive orders at the White House, told Fortune that the new orders now make quantum a “national imperative.”
“American companies, researchers, and government agencies can now move together with urgency. That is exactly what this technology requires,” he said.
Arvind Krishna, the CEO of IBM, was also present at the White House. He called the executive orders an “important, timely step forward.”
To be sure, despite Tuesday’s stock gains, most pure-play quantum companies have yet to turn a profit. Quantinuum, Infleqtion, and D-Wave are all pre-profit companies that have leaned heavily on government contracts and private investment to fund their research and operations.
Monday’s orders show that the federal government backs quantum, yet whether this support can lead these companies to profitability remains to be seen.
