Automotive Quantum Computing Market Report 2025

This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The automotive quantum computing market size has grown exponentially in recent years. It will grow from $0.18 billion in 2024 to $0.24 billion in 2025 at a compound annual growth rate (CAGR) of 31.6%. The growth in the historic period can be attributed to automotive innovation, demand for enhanced simulation and modeling, growing complexity of automotive systems, rising focus on cybersecurity, collaborative research initiatives, regulatory pressure and emissions reduction, competitive landscape, and market differentiation.

The automotive quantum computing market size is expected to see exponential growth in the next few years. It will grow to $0.72 billion in 2029 at a compound annual growth rate (CAGR) of 31.4%. The growth in the forecast period can be attributed to autonomous vehicle development, connected car ecosystem, electric vehicle optimization, advanced materials development, cybersecurity enhancement, supply chain optimization, regulatory compliance and sustainability, industry collaboration, and partnerships. Major trends in the forecast period include technological advancements, R&D investments, partnerships and collaborations, market expansion, regulatory considerations, integration with electric vehicles, focus on cybersecurity, market competition, and commercialization of quantum solutions.

The increasing demand for electric vehicles is expected to fuel the growth of automotive quantum computing in the future. Electric vehicles are cars that are powered by electric motors and rely on rechargeable batteries or other energy storage systems, instead of conventional internal combustion engines. This surge in demand is primarily driven by concerns about environmental sustainability and significant advancements in battery technology. Automotive quantum computing improves the efficiency of electric vehicles by using sophisticated optimization algorithms and battery management techniques. Additionally, quantum algorithms can analyze factors like traffic flow, population density, and energy consumption to determine the best locations for charging stations. For example, in April 2024, the International Energy Agency, an autonomous organization based in France, reported that 14 million new electric cars were registered worldwide in 2023, bringing the total number of electric vehicles on the road to 40 million. Electric vehicles now account for 18% of total car sales, a rise from 14% in 2022. As a result, the increasing demand for electric vehicles is driving growth in the automotive quantum computing sector.

Major players in the automotive quantum computing market are actively expanding their partnerships to gain a competitive edge. Automotive quantum computing partnerships entail collaborations between automotive companies and quantum computing technology providers aimed at exploring, developing, and implementing quantum computing solutions within the automotive industry. For instance, in December 2022, IonQ, a US-based quantum computing hardware and software company, expanded its partnership with Hyundai Motor Company to leverage quantum computing for various automotive applications. This collaboration focuses on creating a groundbreaking battery chemistry model using quantum computing, aiming to enhance the performance, cost, and safety of lithium batteries, critical components of electric vehicles.

In June 2022, Quantum Computing Inc., a US-based software company, acquired QPhoton Inc. This strategic acquisition enables Quantum Computing Inc. to broaden its portfolio and launch ready-to-run, full-stack quantum systems, thereby extending its solutions across key markets such as supply chain and portfolio optimization, fraud detection, underwriting, and government defense and security projects. QPhoton Inc. is a US-based quantum photonics innovation company with a focus on automotive quantum computing, strengthens Quantum Computing Inc.'s capabilities in delivering advanced quantum computing solutions tailored for automotive applications.

Major companies operating in the automotive quantum computing market are Google LLC, Amazon Web Services Inc., The International Business Machine Corporation, Anyon Systems Inc., PsiQuantum, Xanadu Quantum Technologies, Quantum Machines, PASQAL SAS, Terra Quantum, Rigetti Computing, IonQ, Cambridge Quantum Computing (CQC), ISARA Corporation, QC Ware Forge, Classiq Technologies, D-Wave Systems Inc., Quantinuum Ltd., Zapata Computing, QpiAI Tech, Multiverse Computing.

North America was the largest region in the automotive quantum computing market in 2024. Europe is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive quantum computing market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the automotive quantum computing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The automotive quantum computing market consists of revenues earned by entities by providing services such as quantum algorithm development, simulation, and optimization tailored specifically for automotive use cases. The market value includes the value of related goods sold by the service provider or included within the service offering. The automotive quantum computing market also includes sales of quantum processors, quantum computers, qubits, and quantum gates. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

Automotive quantum computing involves leveraging quantum computing technology and principles within the automotive industry to address intricate challenges such as optimizing vehicle performance, enhancing safety features, and advancing autonomous driving technology. Automotive companies utilize the principles of quantum mechanics to improve various aspects of vehicle design, manufacturing, operation, and even transportation infrastructure.

The primary components of automotive quantum computing encompass hardware, software, and services. Hardware pertains to the physical infrastructure necessary for quantum computing processes, including quantum processors, qubits, quantum gates, and refrigeration systems. It can be deployed both in cloud-based and on-premises environments, serving stakeholders such as tier 1 and tier 2 suppliers, warehouse and distribution centers, and original equipment manufacturers (OEMs). The applications of automotive quantum computing span a wide range, including vehicle routing, heat and mass transfer analysis, fluid dynamics simulations, optimization of electromechanical systems, route optimization for logistics, improvement of battery materials, enhancement of material durability, fuel-cell optimization, development of autonomous driving technology, and implementation of predictive maintenance strategies.

The automotive quantum computing market research report is one of a series of new reports that provides automotive quantum computing market statistics, including automotive quantum computing industry global market size, regional shares, competitors with a automotive quantum computing market share, detailed automotive quantum computing market segments, market trends and opportunities, and any further data you may need to thrive in the automotive quantum computing industry. This automotive quantum computing market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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