Quantum computer maker D-Wave Systems Inc. today announced that it will go public by merging with DPCM Capital Inc., a special-purpose acquisition company. 

A SPAC is a company created for the specific purpose of taking another firm public. D-Wave expects to raise as much as $340 million through the transaction. Once the deal closes, the quantum computing firm will list on the New York Stock Exchange at a pro-forma implied market capitalization of up to $1.6 billion.

“Today marks an inflection point signaling that quantum computing has moved beyond just theory and government-funded research to deliver commercial quantum solutions for business,” said D-Wave Chief Executive Officer Alan Baratz.

Burnaby, Canada-based D-Wave is an early pioneer in the field of quantum computing. The company introduced the world’s first commercial quantum computer in 2011 and has since built up a customer base that includes major enterprises such as Toyota Motor Co. and Accenture plc. 

There are several different ways to build a quantum computer. Two of the most promising approaches are known as quantum annealing and gate-model quantum computing. D-Wave says that it’s the only player in the industry developing systems based on both approaches.

Quantum annealing is a computing technique that uses superconducting metal loops to carry out calculations. In 2020, D-Wave debuted an annealing quantum computer dubbed Advantage that features more than 5,000 qubits. A single Advantage system can carry out calculations that involve as many as 800 variables, the company said at the time of the system’s debut.

D-Wave is also developing quantum computers based on gate-model technology. The gate-model approach carries out calculations using superconducting circuits. A number of other companies, including Google LLC and IBM Corp., are also building quantum computers based on superconducting qubits.

Most of D-Wave’s rivals are focusing their quantum hardware engineering efforts on a single computing method. The company says its strategy of developing quantum computers based on two different processing approaches will enable it to address a large range of use cases for customers. 

Computers that use quantum annealing, the first approach on which D-Wave is focusing, are well suited for carrying out so-called optimization problems. This is the term for calculations that involve determining the best option among a large number of possibilities. 

Finding the fastest way to deliver a package to a customer is an example of an optimization problem. Artificial intelligence is another area where the ability to quickly evaluate a large number of possibilities can speed up processing. 

Gate-model technology, the other quantum computing approach that D-Wave is working on, lends itself to a different set of computations. D-Wave expects that its gate-model quantum computers will be well-suited for carrying calculations involving differential equations, which are used in fields such as quantum chemistry.

D-Wave in 2021 announced plans to build a gate-model quantum computer with 1,000 qubits within a few years. The company said today that proceeds from its merger with DPCM Capital will advance its gate-model quantum computing initiative.

In parallel, D-Wave will enhance its existing quantum annealing machines as well as the other products in its portfolio. Besides hardware, D-Wave also develops related offerings such as software tools that make it easier for customers to develop quantum applications.

The company provides its quantum systems through a cloud service called Leap. D-Wave’s cloud portfolio also includes so-called hybrid solvers, offerings that use a mix of quantum and conventional computing hardware to carry out calculations. The company in 2020 introduced a hybrid solver that can use its 5,000-plus-qubit Advantage system to carry out calculations involving up to 1 million variables. 

D-Wave expects to complete the SPAC merger in the second quarter. Afterwards, the company’s shares will list on the New York Stock Exchange under the ticker symbol “QBTS.”

Photo: D-Wave Systems