IBM announces $10 billion investment to build large-scale quantum computer by 2029

May 28, 2026

IBM announced a $10 billion investment over five years to build a large-scale, fault-tolerant quantum computer by 2029. The machine, "IBM Quantum Starling," will feature 200 logical qubits, advancing the timeline for "Q-Day"—when quantum computers can break the cryptography securing assets like Bitcoin. The move comes amid U.S. government funding initiatives to secure leadership in the technology.

IBM Quantum Starling specifications

▪IBM plans to build a large-scale, fault-tolerant quantum computer named IBM Quantum Starling by 2029.
▪The IBM Quantum Starling is designed to feature 200 logical, error-corrected qubits.
▪The IBM Quantum Starling aims to execute 100 million quantum gates, enabling it to solve problems impossible for classical computers.

IBM quantum computing investment

▪IBM currently operates over 90 quantum systems and has partnerships with 325 organizations, including Fortune 500 companies and government agencies.
▪The $10 billion investment covers research, development, capital expenditures, manufacturing, partnerships, and potential acquisitions.
▪IBM plans to invest over $10 billion in quantum computing over the next five years, as disclosed in an SEC 8-K filing.

Quantum threat to cryptocurrency

▪The development of powerful quantum computers poses a threat to cryptocurrencies like Bitcoin and Ethereum, which rely on elliptic curve digital signature algorithms (ECDSA).
▪Estimates suggest thousands of logical qubits are needed to break 256-bit elliptic curve cryptography, more than the 200 planned for IBM Quantum Starling.
▪A sufficiently powerful quantum computer could derive a wallet's private keys from its public keys, which are exposed after a transaction is sent.

Post-quantum cryptography development

▪The National Institute of Standards and Technology (NIST) is working to standardize post-quantum cryptography (PQC) algorithms.
▪Projects focused on quantum-resistant cryptographic solutions are gaining attention in response to the threat from quantum computers.

US government quantum funding

▪A separate U.S. government proposal includes a $1 billion CHIPS incentive for quantum technologies, including an IBM-led quantum foundry.
▪IBM will contribute $1 billion, intellectual property, assets, and workforce to the Anderon venture.
▪The U.S. government decided to take $2 billion in equity stakes in nine quantum computing companies as part of a push to counter China.
▪IBM is set to receive $1 billion of this funding for a new venture called Anderon, the first dedicated quantum chip manufacturing facility in the U.S.