Quantum Computing
Keeping You Informed
June 2023
Table of content
- What is Quantum Computing?
- How does it differ from classical computing, and why do those differences matter?
2. Understanding Key Principles of Quantum Computing
- Definition of superposition and entanglement
- Advantages & Benefits
3. Current State of Quantum Computing
- Overview of QC hardware
- Progress made with QC so far
4. Predictions of Development and Adaption in the Next Decade
- Market forecast
5. Why it’s important to start your Quntum Computing Journey now
1. Intro in Quantum Computing
What is Quantum Computing?
“If you are not completely confused by quantum mechanics, you do not understand it.” – John Wheeler (1911 – 2008) Physicist
Quantum computing (QC) is an emerging technology that could revolutionize how we solve (business) problems and process information. Extraordinary devices have been developed by combining the physical principles of quantum theory with digital technologies. These devices, called Quantum Computers, can outperform even the most powerful supercomputers by conducting infinitely complex calculations or analyses simultaneously. As a result, quantum computing is becoming a major contributor to the 5th wave of computing, enabling groundbreaking technologies in areas such as artificial intelligence, machine learning and cryptography.
Source: PwC internal
How does it differ from classical computing, and why do those differences matter?
Classical computers represent information through bits which can only occupy two states: 0 or 1. Quantum Computers, however, use “qubits”, which can represent infinite numbers of states between 0 and 1 simultaneously, holding much more complex information. This ability to process multiple states simultaneously gives quantum computers a significant advantage over today’s computers regarding speed and computational power.
Solving complex problems quickly, efficiently and with high-quality solutions is essential for businesses, particularly in supply chain optimization, simulations (e.g. fleet or certain risks), scheduling optimizations, production process optimization and more. Quantum computing has the potential to revolutionize these processes, leading to faster decision-making, product development, improved efficiency, and, ultimately, increased competitiveness.
Source: PwC internal, Dr. Sven Blankenburg
2. Understanding Key Principles of Quantum Computing
Definition of superposition and entanglement
Superposition is, in essence, the ability of a quantum system to be in multiple states simultaneously, which is one of the main principles and differentiators of Quantum Computing as a technology. In addition, entanglement is another quantum phenomenon where (elementary) quantum objects (like particles or qubits) become interconnected so that the state of one object is correlated with the state of another, regardless of the distance between them. These two principles are the foundation of quantum computing, enabling qubits to process vast amounts of information simultaneously, leading to much faster and more efficient computations.
Advantages & Benefits
- Quantum computers are multiple times faster than today’s supercomputers
- They have exponentially growing processing power
- They’re sustainable and enable sustainability*
- They can solve complex problems that are currently intractable for classical computers
*Disclaimer: Quantum computers save energy during calculations, while the cooling process, for instance, is very power-consuming.
3. Current State of Quantum Computing
Overview of QC hardware
Quantum Computers consist of a memory board, a processor – known as quantum processing units (QPUs) – conducting elementary operations, and input/output interfaces for setting the initial state and extracting the final state.
The development of hardware for quantum computing has become a race among leading tech giants and startups, fueled by committed private investors and VCs who believe in the potential of quantum technology. Key players in the quantum computing landscape include, among others: IBM, Google, Microsoft, Intel and D-Wave.
The most common technological approaches are 1) Superconducting Qubits, 2) Trapped ions, 3) Photonic Qubits, 4) Topological Qubits, and 5) Quantum Annealing. However, there has yet to be a precise winner technology so far, but it will surely be quantum. In future posts, we will describe each quantum technology in more detail.
- Superconducting Qubits: These tiny loops of superconducting wire can hold quantum information. They are cooled to extremely low temperatures to reduce the effects of noise and interference. Superconducting qubits are currently the most promising technology for building large-scale quantum computers.
- Trapped Ions: In this approach, ions are trapped using electromagnetic fields and used to store and manipulate quantum information. This technique has been used to build quantum computers with up to 50 qubits but scaling up the technology is challenging.
- Photonic Qubits: Photons (particles of light) can be used to encode quantum information. They can be transmitted over long distances using fibre-optic cables, making them ideal for quantum communication.
- Topological Qubits: Topological qubits are a type of qubit that is inherently resistant to errors. They are based on the topological properties of materials such as superconductors and can be used to build fault-tolerant quantum computers.
- Quantum Annealing: This approach uses quantum fluctuations to find the lowest-energy state of a particular problem. Quantum annealers are designed to solve optimization problems and are used in finance, logistics, and drug discovery.
Progress made with QC so far
In recent years, quantum computing has advanced significantly, with several companies achieving milestones such as quantum supremacy, in which a quantum computer outperforms a classical computer in a specific job. While completely functional large-scale quantum computers are still under development, research, optimization, and simulation activities are being carried out using smaller-scale quantum devices.
4. Predictions of Development and Adaption in the next Decade
Market forecast
The potential for value-add using quantum computing applications increases enormously. A study by the German Federal Ministry of Economic Affairs and Climate Action (BMWK) suggests that by 2050, quantum computing could generate an annual value-add of up to €53.1 billion for Germany alone.
5. Why it’s Important to Start Your QC Journey now
The most recent developments associated with the QC area in Germany demonstrate the highest priority of this emerging technology regarding the economic, research and technological pioneering in the coming decades.
By understanding QC's capabilities and use cases early, businesses can build ecosystems that drive unique business models, products, and technologies. Establishing relationships with key industry players and forming strategic partnerships can provide long-term benefits. Investing early in quantum computing can result in a strong market positioning, allowing businesses to leverage the technology's potential as it evolves. In addition, early participation in this field may help organizations to attract top talent, allowing them to stay on the forefront of innovation and gain a competitive advantage in the market.
We at PwC are a passionate community of solvers that help you to conquer your most complex challenges through the potential of quantum computing.
Reach out to us to discuss how we can explore and leverage the potential of quantum computing for your business today and in the future.
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