IBM to Spend Over $10 Billion on Quantum Computing in Next Five Years, Still Targeting Fault-Tolerant Machine After 2029

IBM will invest more than $10 billion in quantum computing over the next five years. The spending will support research and development, capital expenditures, manufacturing scale-up, ecosystem partnerships, and mergers and acquisitions. The company said the outlay is intended to accelerate progress toward delivery of the world's first large-scale, fault-tolerant quantum computer after 2029.

IBM chairman and chief executive Arvind Krishna stated that the quantum era has begun and that clients are already performing work impossible a few years ago. U.S. government signed letters of intent with nine quantum computing companies, including IBM.

Under the largest of those agreements, IBM will receive $1 billion from the Department of Commerce. IBM will match the federal grant to establish a new superconducting quantum foundry subsidiary named Anderon. The subsidiary will be the first pure-play quantum foundry in the United States and will operate as a standalone company manufacturing 300mm quantum wafers.

Anderon will be headquartered in Albany, New York. IBM said the new entity will centralize wafer production for its quantum systems. IBM reported booking $1 billion in quantum-related revenue between the first quarter of 2017 and the fourth quarter of 2024.

In November 2025 the company stated it expected to reach quantum advantage by the end of 2026 and remains on schedule for a fault-tolerant system by 2029. In April 2026 IBM filed plans for a 511,000-square-foot quantum computing facility at its Poughkeepsie, New York campus.

The project includes demolition of two existing buildings to accommodate manufacturing and assembly of next-generation Starling quantum systems.