Quantum computing has long been painted as a futuristic dream dominated by a handful of American giants—IBM, Google, and a few deep-pocketed rivals in China. But a Finnish startup named IQM is now forcing the world to look toward Europe, where a new challenger is quietly rewriting the rules of the game.
Founded in 2018 by physicist Jan Goetz and his colleagues, IQM has rapidly transformed from a small academic spin-off into one of the most promising names in the field. In less than seven years, it has secured contracts with some of the world’s most respected research institutions, built factories in Finland and France, and, most importantly, proved that Europe can stand shoulder to shoulder with Silicon Valley when it comes to cutting-edge science.
A $300 Million Bet on Europe’s Future
Raising money for deep-tech is never easy, yet IQM has managed to pull in over $300 million in funding from investors across Europe and beyond. Unlike many startups that rely heavily on U.S. venture capital, IQM has leaned on European backers, while still welcoming international funds to strengthen its base.
This financial muscle has allowed the company to expand aggressively. Its headquarters in Espoo, Finland, now houses one of the most advanced quantum chip fabrication facilities in Europe, while another plant is being developed in Grenoble, France, to scale up production. For a startup competing with American tech titans, these are not just symbolic achievements—they are survival tools.
The Technology Edge: Fidelity at 99.9%
At the heart of IQM’s progress lies its focus on superconducting quantum processors, the same technology used by IBM and Google. The company follows a semiconductor-style process to design and fabricate chips that can manipulate quantum bits—or qubits—with astonishing accuracy.
In 2024, IQM announced that one of its processors had achieved 99.9% fidelity, meaning the system could perform quantum operations with near-perfect reliability. For a technology where even the smallest errors can destroy calculations, this figure was a watershed moment.
Jan Goetz explained in an interview, “We are still at the beginning of the quantum race, but we can already deliver products that match, and in some cases even surpass, the expectations set by industry leaders.”
Hardware First, Cloud Later
While IBM and Google often showcase their quantum machines through cloud-based platforms, IQM has chosen a different route. The startup primarily sells on-premises quantum computers, meaning the hardware is physically delivered and integrated into customer facilities.
So far, this approach has worked. IQM has shipped more quantum systems than any other company last year, securing deals with top institutions such as the Oak Ridge National Laboratory in the U.S., Germany’s Leibniz Supercomputing Centre, and VTT Technical Research Centre of Finland.
This model gives customers more control and, perhaps more importantly, makes quantum computing less abstract. Researchers can walk into a lab and see the machine humming, rather than connecting to it through the cloud. It also provides IQM with a recurring business model, as each system is upgraded every three to four years with new processors.
“We believe customers want something tangible today. Cloud will come, but right now the real demand is for robust hardware that can be integrated into existing infrastructure,” Goetz noted.
Europe’s Big Ambition
IQM’s rise is not happening in isolation. The European Commission has openly declared its ambition to make Europe a global leader in quantum technologies by 2030. Programs such as the EU Quantum Flagship have unlocked billions in funding, creating fertile ground for startups like IQM to thrive.
For decades, Europe was seen as lagging behind the U.S. and China in breakthrough technologies. But IQM is part of a new wave of firms—from semiconductor design to AI—that are proving the continent can compete if it invests strategically.
The Challenges Ahead
Still, IQM’s journey is far from guaranteed. Scaling quantum processors beyond a few dozen qubits while maintaining high fidelity remains one of the toughest engineering problems in modern science. Every additional qubit increases the risk of errors exponentially, and error correction techniques are still in their infancy.
Moreover, the competition is brutal. IBM has already laid out roadmaps for systems with thousands of qubits by the end of the decade, while Google is pushing toward “quantum advantage” milestones that could transform industries like pharmaceuticals and logistics.
IQM, with its relatively modest resources, must rely on agility and smart execution. Its strategy of delivering physical systems instead of only cloud services may give it an edge, but it will also need to prove it can transition into offering scalable quantum-as-a-service platforms when the market matures.
Why It Matters
The stakes could not be higher. Quantum computing promises to revolutionize fields as diverse as drug discovery, cybersecurity, energy systems, and finance. Whoever dominates the technology will not only reap massive commercial benefits but also wield significant geopolitical power.
For Europe, IQM represents more than just a startup. It symbolizes a bid for independence in a future where technological sovereignty is as important as military strength.
As one European analyst put it, “If Europe fails to develop its own quantum champions, it risks becoming a consumer, not a creator, of the next big wave of computing.”
The Road Ahead
Looking forward, IQM is expected to continue expanding partnerships with research centers and governments while exploring industrial applications. The company’s founders believe that within five years, quantum systems will start to solve problems beyond the reach of classical supercomputers.
For now, IQM’s message is simple: Europe is not just a spectator in the quantum race. It is a serious contender, armed with talent, technology, and an ambition to prove that the next revolution in computing does not have to come from Silicon Valley.
Conclusion
IQM may still be young, but its achievements in funding, technology, and market adoption have already forced competitors to take notice. By focusing on hardware delivery, achieving world-class fidelity, and aligning with Europe’s broader ambitions, the company is positioning itself as a true challenger to IBM and Google.
The quantum race is just beginning, and IQM has made it clear—it intends to be on the front line, not the sidelines.