- When Silicon Valley emerged as the hub of the computer sector, it gave rise to a substantial local economic powerhouse.
- With the dawn of the quantum computing age, five areas are set to emerge as the new epicenters for technology innovation.
- Significant quantum centers are currently under development in California, Colorado, Illinois, Maryland, and Massachusetts.
In the 1970s, when Silicon Valley emerged as the hub of the computer industry, a regional economy valued in trillions of dollars developed in the San Francisco Bay Area. Today, this phenomenon continues to shape the landscape. era of quantum computing gains momentum, five cities across the country are poised to become the next tech hot spot.
Quantum computing is an emerging area that utilizes principles of quantum mechanics to tackle intricate issues more swiftly than what can be achieved with traditional computers.
Researchers remain hopeful that significant advancements in the field could lead to important discoveries. transform healthcare, protect personal information, and much more Quantum hardware fabrication and software engineering have drawn significant funding from leading technology corporations such as IBM, Google, and Microsoft, along with smaller entities like D-Wave, IonQ, and Rigetti—and the financial implications of emerging as a center for this advanced technology are substantial.
The quantum industry drew in $1.2 billion from venture capitalists in 2023 even as total tech investments fell by half during that period, according to data from the Boston Consulting Group. The market analysis company Resonance recently forecasted that the global quantum computing sector might contribute over $1 trillion to the worldwide economy within the coming decade.
The technology industry is renowned for fueling significant economic expansion. According to a recent report from the local research organization Joint Venture Silicon Valley, the Bay Area saw an extraordinary market capitalization of $14.3 trillion in 2024, boasting an unemployment rate over one percentage point below the statewide average.
"Indeed, when individuals converge in a specific area, and these same individuals require various services from the local economy, it leads to expansion across multiple sectors rather than just one. This ultimately fosters shared prosperity," explained Russell Hancock, President and CEO of Joint Venture Silicon Valley, to Business Insider.
Hancock stated that the economy surrounding Silicon Valley developed partly due to its closeness to significant research institutions such as Stanford and UC Berkeley, which fueled innovation. Additionally, the area’s real estate market, which was conducive for startups back then, played a role in this growth.
"I think it's valid to think of Silicon Valley not just as a place but to think of it as a phenomenon," Hancock said. "The phenomenon is composed of a massive focus on technology, accompanied by innovation and entrepreneurship and risk-taking."
These days, Silicon Valley is not the only place experiencing this trend—particularly when it comes to the quantum sector. Below are five areas that have the ideal environment to develop what could become known as Qubit County, the emerging national hub for all things quantum.
Santa Barbara, California
The seaside town of Santa Barbara already hosts Google's Quantum AI Campus as well as Microsoft's The Station Q research facility, situated on the University of California, Santa Barbara campus.
UC Santa Barbara also houses a cutting-edge foundry that creates the materials and interfaces required for powering future technologies. quantum-based electronics .
Located less than two hours north of Los Angeles, Santa Barbara is home to UCLA researchers concentrating on advancements in quantum science. In 2024, Governor Gavin Newsom of California declared he had allocated $200 million in state funding to UCLA with the aim of converting the former Westside Pavilion Mall into a research center. This new facility will accommodate both the California Institute for Immunology and Immunotherapy as well as the UCLA Center for Quantum Science and Engineering.
Chicago, Illinois
The Chicago Quantum Exchange, located at the University of Chicago, calls Chicago its base. It stands as one of the globe’s most extensive cooperative groups focused on advancing quantum science via collaborations with over 50 corporations, international entities, and nonprofits.
The city will also be home to an upcoming multibillion-dollar collaboration called the Illinois Quantum and Microelectronics Park. This initiative aims to incorporate shared cryogenic facilities, equipment laboratories, and research areas designed to advance various fields. advance quantum technology .
According to a press release regarding the initiative, IQMP is expected to yield approximately $20 billion in economic benefits and lead to the creation of numerous job opportunities. The state of Illinois has committed an investment of $500 million towards its progress.
"Governor Pritzker from Illinois has been highly proactive in this area," said Subodh Kulkarni, CEO of Rigetti Computing, speaking with Business Insider. He referred to Chicago as one of the possible hubs for quantum technology at both national and global levels.
Boston, Massachusetts
At GTC this year, Nvidia CEO Jensen Huang disclosed his firm's intentions to construct a quantum research facility in Boston aimed at collaborating with scholars from MIT and Harvard.
It will probably be the most sophisticated hybrid with acceleration. quantum computing research lab world," Huang said.
Boston already hosts QuEra Computing, a company focused on developing quantum computers using neutral atoms. According to reports from The Boston Globe last year, the state’s funding bill allocated $40 million for constructing a “quantum innovation hub” located approximately two hours west of Boston in the Pioneer Valley.
"The Boston region boasts an impressive array of businesses and academic entities which might turn out to be quite significant for the sector," stated Alan Baratz, CEO of D-Wave, during a conversation with Business Insider.
College Park, Maryland
Margaret Arakawa, the Chief Marketing Officer at IonQ, informed Business Insider that her firm, which is based in Maryland, sees the potential for the state to emerge as “the epicenter of quantum.” This vision hinges on forming an alliance with the University of Maryland similar to how Silicon Valley innovators collaborated with Stanford and UC Berkeley scholars.
Arakawa stated, “Our aim is to collaborate with entities that aren’t only engaged in research but also actively involved in developing and constructing quantum computers and their infrastructure.” He continued, “We’re particularly looking at the University of Maryland, along with various governmental bodies, academic institutions, corporations, and associations of physicists. We believe this state has everything needed to become the epicenter for advancements in quantum technology.”
UMD, located in College Park, serves as a central nexus for quantum research And for development, it also serves as the home of the Quantum Startup Foundry, which is an accelerator designed to support entrepreneurs and startups in launching quantum technologies into the marketplace.
In January, Maryland Governor Wes Moore unveiled the "Capital of Quantum" Initiative—a $1 billion collaboration between the public and private sectors aimed at establishing Maryland as a worldwide frontrunner in quantum information science and technology.
Boulder, Colorado
Earlier this year, three leading institutions in Colorado — the University of Colorado Boulder, Colorado State University, and the Colorado School of Mines — joined forces with the Elevate Quantum Tech Hub to establish a 13,000-square-foot quantum incubator in Boulder.
In 2023, the Department of Commerce named Elevate Quantum as one of just two technology centers in the nation dedicated to quantum research and development. advancing quantum technologies According to a press release from Senator Michael Bennet, the technology center has received $40.5 million in federal funds to help develop a top-tier quantum ecosystem.
The Boulder Quantum Incubator capitalizes on the momentum generated by a legislation approved in 2024 at the state level aimed at fostering economic development. quantum sector According to a Quantum Insider report, the legislation is expected to generate more than 10,000 quantum-related positions in the state over the next ten years.
Matthew Kinsella, the CEO of the quantum technology firm Infleqtion, informed Business Insider that establishing a national quantum hub would probably rely on support from state and local governments to foster an environment conducive to advancing this technology.
"I believe locations such as Colorado and Chicago rank quite highly on that list," Kinsella stated.
If you liked this tale, make sure to follow Business Insider on MSN.