Department of War Announces $350 Million in Quantum Computing Initiatives

Oct. 8, 2026 |

Winning the race for quantum leadership is essential to preserving the United States' technological edge and securing its national security. President Trump made American leadership in quantum information science a national priority through Executive Order 14413, ushering in the Next Frontier of Quantum Innovation. Today, building on the call to renew bold, ambitious national missions in the White House Office of Science and Technology Policy Director Michael Kratsios' report Science: A New Golden Age, the Department of War is accelerating its efforts to identify, develop, and prepare for quantum computing capabilities that will underpin future national security missions.

In support of President Trump's mandate for American leadership in quantum, the Office of the Under Secretary of War for Research and Engineering (R&E) today announced new initiatives and programmatic updates totaling approximately $350 million to strengthen U.S. leadership in quantum computing capabilities that support national security.

"Dominance in quantum information science is a critical priority for both President Trump and the Department of War. Maintaining American leadership in this field is essential to preserving our technological edge, and R&E is uniquely positioned to drive the innovation needed across academia and industry," said Emil Michael, Under Secretary of War for Research and Engineering.

R&E will direct greater attention across the Department of War's innovation ecosystem toward identifying mission-relevant applications of quantum computing, particularly as sufficiently capable quantum computers become available. R&E expects that quantum-enabled applications in disciplines such as chemistry, materials science, and physics will enable the development of next-generation weapons, platforms, and other critical capabilities that are more lethal, cost-effective, and manufacturable.

This new effort will build on existing Department of War programs and complement related national initiatives led by the Department of Energy (DOE), particularly its recently announced Quantum Genesis Priority Applications and the Quantum Genesis Q Competition, as well as initiatives led by the National Science Foundation (NSF) and the National Aeronautics and Space Administration (NASA). In coordination with DOE's Office of Science, the National Nuclear Security Administration, and the Laboratory for Physical Sciences, the Defense Advanced Research Projects Agency (DARPA) will host a series of application workshops beginning before January 2027. The workshops will bring together end users and quantum-algorithm experts to identify high-value use cases, accelerate industrially relevant quantum advantage, create economic opportunity, and strengthen national defense.

DARPA is also advancing the technical validation needed to determine whether prospective quantum computing systems can deliver utility at scale. Through its Quantum Benchmarking Initiative, DARPA announced the advancement of four prospective quantum-computing providers to Stage C of the initiative, representing approximately $200 million in new funding that builds on more than $650 million in investments from DARPA in prospective quantum-computing providers. During Stage C, participants will work with DARPA to verify and validate that their utility-scale quantum-computer concepts can be constructed as designed and operated as intended. Advancement to Stage C indicates that each participant has demonstrated a research and development plan capable of realizing a utility-scale quantum computer; characterized key program risks and mitigation measures; and developed prototype requirements to retire those risks.

A strong quantum industrial base is essential to maintaining U.S. leadership in science and technology. To help build that foundation, the Department of War's Office of Strategic Capital today announced an approximately $150 million conditional loan commitment to support PsiQuantum's advanced manufacturing and prototyping capabilities in the United States.

Together, these efforts will advance the Department's understanding of quantum computing's future national security applications and strengthen avenues for companies to deliver systems capable of executing them.

Department of War's Office of Strategic Capital Signs $150 Million Conditional Loan Commitment With PsiQuantum

Oct. 8, 2026 |

The Department of War's Office of Strategic Capital (OSC) announced today a $150 million conditional loan commitment to PsiQuantum, Corp. to enhance the company's advanced manufacturing and prototyping capabilities in the United States. Building on OSC's ongoing collaboration with the Defense Advanced Research Projects Agency (DARPA)'s Quantum Benchmarking Initiative, the proposed loan follows recently awarded funding agreements with DARPA and CHIPS and supports PsiQuantum's novel photonic approach to developing the world's first commercially useful fault-tolerant quantum computer (FTQC). 

The potential financing executes on President Donald J. Trump's mandate to drive and sustain U.S. leadership in the strategically important field of quantum information science and technology. Quantum computing is now regarded, alongside Super Intelligence (SI) and semiconductors, as a foundational technology for future economic and military advantage.  

"OSC's proposed transaction with PsiQuantum directly aligns with President Donald J. Trump's mandate to accelerate development and commercialization of quantum computing. Quantum computing will provide transformational capabilities, and the Department of War's investment into PsiQuantum serves the mission of securing U.S. leadership in quantum computing in full alignment with Department of War objectives set forth by Secretary of War Pete Hegseth," said David A. Lorch, Director of the Office of Strategic Capital and Senior Advisor to Deputy Secretary of War Steve Feinberg. 

"Funding the development of fault-tolerant quantum computing is a national security imperative,"added Peter B. Zuckerman, Senior Managing Director at OSC. "We must scale this critical technology to secure our technological edge and deny adversaries a decisive strategic advantage."

"I applaud OSC for this strategic collaboration with DARPA and CHIPS, which demonstrates how the Department of War is moving at breakneck speed to meet President Trump's directive that the United States must lead in quantum. Quantum computing will shape the future of warfare and fundamentally change how the Joint Force solves its most complex operational challenges," said Emil Michael, Under Secretary of War for Research and Engineering. 

The conditional loan commitment between OSC and PsiQuantum specifies customary additional steps the company must take to proceed toward financial close, including satisfying financial, legal, technical, due diligence, and other requirements.