Quantum Computing Inc. to Acquire Quantum Photonic Startup QPhoton

In another pairing between hardware and software companies, Quantum Computing Inc. (QCI) has reached an agreement to acquire quantum photonic startup QPhoton. QPhoton is a spinout of research by Dr. Yuping Huang from the Stevens Institute of Technology and will operate as a subsidiary of QCI. The two companies had previously announced a partnership in February to jointly sell and market quantum and phonic products and had indicated at that time that an acquisition may occur.

The acquisition will be paid for by a mixture of common stock, preferred stock, and warrants and will represent in total approximately 49% of the total capital stock of QCI outstanding immediately following the closing. QPhoton is developing a series of quantum photonic systems (QPS) that run at room temperature and targetted for AI and optimization applications. It will be paired with QCI’s Qatalyst™ software to provide a complete hardware/software solution for optimization. Qatalyst will still also continue to support other processor platforms D-Wave, IonQ, Oxford Quantum Circuits, and Rigetti, among others.

In a separate development, QCI also released its financial results for the first quarter of 2022. They achieved revenue of $31 thousand with a loss from operations of $6. 7 million. For more about QCI's acquisition and their first quarter earnings release you can view a press release announcing the acquisition here, an SEC filing for the acquisition here, and another SEC filing with the first quarter results here.

May 25, 2022