Quantum Event: QunaSys Acquisition by PsiQuantum
QunaSys Acquisition by PsiQuantum
PsiQuantum completed its strategic acquisition of QunaSys in March 2025 for approximately $650 million, marking one of the most significant consolidations in the quantum software industry to date. The Silicon Valley-based quantum hardware company, known for its photonic quantum computing approach and backed by over $1 billion in venture funding, acquired QunaSys to strengthen its application software capabilities, particularly in quantum chemistry and materials science. This acquisition creates a vertically integrated quantum computing powerhouse, combining PsiQuantum's advanced photonic quantum processor technology with QunaSys's industry-leading quantum chemistry algorithms and software platforms. The strategic rationale centered on accelerating practical quantum advantage in chemistry applications, with PsiQuantum CEO Jeremy O'Brien noting that "combining our photonic quantum hardware with QunaSys's chemistry-optimized algorithms creates an unparalleled opportunity to deliver quantum advantage for industrial applications years ahead of previous timelines." QunaSys's extensive partnerships with chemical, pharmaceutical, and materials companies—particularly in Japan and Europe—provide PsiQuantum with immediate access to high-value commercial use cases and industry relationships that complement its hardware development focus. The unique benefits of this acquisition include QunaSys's hardware-agnostic QURI SDK, which PsiQuantum plans to optimize for its photonic quantum processors while maintaining compatibility with other quantum hardware platforms, creating both competitive advantage and potential licensing opportunities across the quantum ecosystem.
PsiQuantum's Acquisition of QunaSys: Strategic Analysis
Corporate
PsiQuantum, based in Palo Alto, California at 3210 Porter Drive, Palo Alto, CA 94304, is a quantum computing company founded in 2016 by Jeremy O'Brien, Terry Rudolph, Peter Shadbolt, and Mark Thompson with the mission to build the world's first commercially useful quantum computer. The company has attracted significant funding throughout its history, having raised approximately $665 million as of July 2021 with a valuation of $3.15 billion, and recently securing an additional $750 million in March 2025 at a $6 billion valuation with BlackRock leading this investment round. PsiQuantum's unique approach leverages silicon photonics technology, using the same semiconductor manufacturing techniques employed in the communications industry, through a strategic manufacturing partnership with GlobalFoundries at their Albany, New York facility. PsiQuantum is actively working with the governments of Australia and the United States to build quantum computers in Brisbane and Chicago respectively, reinforcing their position as a leader in the quantum computing industry. The acquisition of QunaSys, a Japanese company specializing in quantum algorithms for chemistry applications, represents a strategic vertical integration following their earlier partnership announced in December 2021, which focused on developing quantum computing applications for industrial chemistry and materials science.
Market
The global quantum computing market is rapidly expanding, with projections showing growth from approximately $1.1 billion in 2024 to over $4.6 billion by 2028, representing a compound annual growth rate of nearly 35%. Within this broader market, the quantum chemistry simulation segment, which is QunaSys's specialty, is expected to reach $850 million by 2027 with a growth rate of 28%, driven by increasing demand for computational solutions in materials science, pharmaceuticals, and chemical manufacturing. The acquisition positions PsiQuantum to capture significant market share in quantum computing hardware while simultaneously gaining proprietary access to industry-specific quantum algorithms through QunaSys's expertise in chemistry applications. Government initiatives worldwide are accelerating adoption, with Australia investing $617 million (AUD $940 million) in PsiQuantum for a Brisbane-based quantum computer, while similar projects are underway in the United States and many other countries actively developing national quantum strategies. This strategic acquisition enables PsiQuantum to offer complete end-to-end quantum computing solutions spanning hardware, middleware, and industry-specific application software, giving them competitive advantage in an increasingly crowded marketplace.
Product
PsiQuantum's core product is their photonic quantum computing platform, which utilizes silicon photonics technology to manipulate individual photons (particles of light) as quantum bits (qubits) for performing quantum calculations. Their flagship product, the Omega quantum photonic chipset, is designed for utility-scale quantum computing and is currently in production at GlobalFoundries' facility, with the company claiming to be manufacturing "millions" of quantum devices using industry-standard wafer manufacturing processes. QunaSys brings complementary software offerings to the acquisition, most notably their Qamuy™ platform, described as "the most powerful quantum chemical calculation cloud software," which enables quantum computing applications specifically for materials science, pharmaceutical research, and chemical manufacturing. The combined entity will offer an integrated hardware-software solution with improved capabilities for quantum chemistry simulations, competing against major quantum computing players including IBM Quantum with their Qiskit chemistry modules, Google Quantum AI, IonQ, Quantinuum (formerly Honeywell Quantum), D-Wave Systems, Rigetti Computing, Xanadu, and Intel's quantum initiatives. This product integration allows PsiQuantum to deliver specialized quantum solutions for chemistry applications while continuing development toward their goal of creating a fault-tolerant, general-purpose quantum computer.
Bottom Line
Organizations involved in advanced materials research, pharmaceutical development, and chemical manufacturing should strongly consider partnership or investment in PsiQuantum following this acquisition, as the combined entity offers a uniquely integrated approach to quantum computing for chemistry applications. The strategic acquisition brings together PsiQuantum's photonic quantum hardware expertise with QunaSys's specialized quantum chemistry algorithms, creating a vertically integrated solution addressing both the hardware and application layers of the quantum computing stack. Forward-thinking companies in semiconductor manufacturing, display technologies, battery development, catalysts, and pharmaceutical research will benefit most immediately from the combined capabilities, as these fields require quantum-level simulation of molecular interactions that classical computing cannot efficiently address. Government research laboratories and academic institutions focused on materials science should also evaluate this combined platform as it represents a significant advancement in applying quantum computing to real-world chemistry challenges. Research-intensive organizations that have previously partnered with either company individually should initiate discussions about integrated solutions, as the acquisition promises to accelerate development timelines for practical quantum applications in chemistry and materials science.