Quantum Computing: Markets React to Nvidia Chief's Skepticism

The recent statements by Nvidia CEO Jensen Huang caused significant turbulence in the technology sector, particularly in the quantum computing sector. During his speech, Huang emphasized that the practical use of quantum computers is still decades away, which promptly weighed on the stock prices of affected companies. This caution hit the investors' euphoria hard. Just last month, the introduction of the Willow quantum chip by Google led to a surge in stocks within the quantum ecosystem. However, analysts had already pointed out the long-term perspective for commercial applications at that time. With Huang's remarkable position in the financial market and his sober stance, he generated disappointment among those hoping for rapid innovations. He stressed that realistically, one must expect 15 to 30 years until such technologies become useful. The impact of his statements was clear: Shares of Rigetti Computing, D-Wave Quantum, and IonQ suffered massive losses after having previously recorded substantial growth rates. This sobering realization is all the more noteworthy as markets are currently heavily focused on artificial intelligence. Despite the visions of quantum computing developments that could surpass existing technologies and enable significant advances in areas such as medicine and cybersecurity, investors seem deterred by the still distant promises.