The quantum computing market size is expected to grow by USD 9,013.68 million from 2022 to 2027, progressing at a CAGR of 18.84% as per the latest Technavio market research report. North America is estimated to account for 38% of the market's overall growth. A major factor influencing the market growth is the presence of a substantial number of US-based customers. For instance, a main vendor of quantum computers, D-Wave, which is headquartered in Canada, has sold quantum computing machines to major US-based clients such as Lockheed Martin, Google, NASA, and Temporal Defense Systems. Furthermore, such firms have collaborations with D-Wave to upgrade to the latest machine once it has been developed. Additionally, these clients have high economies of scale and, therefore, have the finances and resources to adopt these technologies at a much faster pace compared to other regions. Hence, such factors influence the growth of the regional market during the forecast period.
The growing utilization of quantum cryptography, which is a technique for secure code-writing and solving is a major driver for the market growth. Quantum cryptography offers the highest level of security for transmitting even the most critical data. With the advent of quantum computers, vast amounts of encrypted data can be processed at incredibly high speeds.
Moreover, quantum computing can decrypt encrypted data into plain text in a matter of seconds, while classical computers might take years to do so. The decryption process is achieved by increasing the length of keys with more bits. This provides heightened security but there is a concern that hackers may also use quantum computers to decrypt sensitive information, which has prompted many governments to invest millions of dollars in developing quantum computers with top-notch security features. Hence, such factors drive the market growth during the forecast period.
The growth of AI and machine learning is an emerging trend shaping market growth. AI is a branch of science, which generally deals with computers, machines, software, and computer-operated robots to think intelligently to find solutions for complex problems in a manner that is like how a human brain thinks. Also, machine learning is a type of AI that allows computers to self-learn.
Additionally, AI and machine learning will be some of the biggest applications of quantum computers, where AI requires fast processors to work, and the development of quantum computing processor chips will be used in AI applications. This is because these processors work at high speeds to compute data efficiently. Hence, such trends fuel the market growth during the forecast period.
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