We recently hosted a discussion about quantum technologies as part of our Leadership Reimagined executive roundtable series. Our speakers — Perdita Fraser, advisory board member of Quantum Informatics CDT and Senior Advisor to the Vice Chancellor of the University of Edinburgh, and Air Marshal Andrew Turner, CEO of Saibre Capital and member of the National Quantum Advisory Board — cut through the complexity of the underlying science to provide clear examples of how quantum technologies are changing business opportunity and risk, and what business can and indeed must do to prepare.
Below is a recording of the discussion and a write-up of our key takeaways.
Here are our key takeaways:
The quantum era is here and businesses need to act now — before it’s too late. Scientists were predicting the advent of artificial intelligence for decades before ChatGPT made it an urgent priority for everyone. Quantum, which was long touted to be “five years away”, appears to be following the same pattern. The technology already is used in sensing and communications applications such as MRI scanners, precision timing that enables GPS location services, and detecting tiny changes in temperature and gravity to detect submarines. Quantum computing, which could disrupt entire industries and enable hackers to crack into today’s encrypted data, may be feasible at scale by the end of the decade. This should make quantum a board-level issue for every company.
Quantum computing’s power will enable organizations to accelerate operational performance and radically speed up innovation. Fraser cited the example of a tech company that ran simulations on millions of materials to discover 18 potential candidates for reducing lithium in batteries. That took 80 hours, compared with an estimated 20 years if they had used classical (traditional) computers. Major financial services firms are experimenting with quantum computers to predict securities prices and optimize portfolios, while a large pharmaceutical company has invested in a quantum startup in hopes of accelerating new drug discoveries. Quantum’s potential for analysing troves of data to make extremely accurate forecasts could even disrupt betting and financial markets. The technology isn’t yet powerful or foolproof enough to be deployed at scale, but the window for companies to bring themselves up to speed is closing fast.
Quantum’s vast potential comes with a side dish of serious risk. Q day, the moment when the hyper-speed of quantum computers can crack the encryption methods currently used to safeguard corporate assets, communications, and everyone’s money, may be only a few years away. Businesses need to move quickly to adopt post-quantum cryptography, or PQC, which relies on cryptographic algorithms deemed to be secure from quantum attack, as migration to new standards will take time. Quantum also could enable bad actors to disrupt precision time services, such as GPS, that coordinate everything from financial markets operations to transportation and communications systems. Turner contends that a loss of precision timing could have a far bigger impact on the economy than the COVID-19 pandemic. Then there’s the basic commercial risk of finding yourself facing competitors using quantum to develop far greater forecasting capabilities.
Start building knowledge and experience now. British businesses should take advantage of the UK’s advanced position in quantum research, whether that’s examining various models at the National Quantum Computing Center or conducting a test project with a university lab or start-up. The playing field is relatively flat now because even global tech giants are working with UK startups. Companies also should be developing a plan for governance to make clear who owns post-quantum cryptography, for example, and that alternative sources of precision time are available in a crisis. The government also has a role to play in supporting academic research, developing a pipeline of skilled talent, investing alongside private industry because of quantum’s national security implications.