Quantum Computing Stocks: How the Quantum Computing Players Stack Up by Patents (Yes, Nvidia Has Such Patents)
Quantum computing is an emerging technology with significant growth potential, projected to reach $90 billion to $170 billion by 2040. Monitoring patent activity is crucial for investors. In 2024, IBM and Alphabet led in U.S. quantum computing patents. Nvidia, a leader in AI, was awarded three patents and is expected to increase its involvement. Key players include IBM, Alphabet, Microsoft, Amazon, and pure-play companies like IonQ, Rigetti, and D-Wave. Patent quality, measured by citation frequency, highlights D-Wave, Northrop Grumman, and Rigetti as leaders.
Quantum computers promise to be able to solve problems that classical computers either cannot solve or would take many years to solve. While classical computers use binary bits (ones and zeros) to store and process data, quantum computers can encode much more data at once using quantum bits, or qubits, in superposition.
There is a good reason many investors are eager to invest in this emerging technology. The global quantum computing market for hardware and software is projected to reach $90 billion to $170 billion by 2040, according to the Boston Consulting Group (BCG). This market was valued at approximately $1.4 billion in 2024, according to Grandview Research. So, BCG's estimate corresponds to a compound annual growth rate (CAGR) of about 30% to 35%.
Much of this growth is likely to occur in the backend of the period provided. Quantum computing is in its early stages, and several issues need to be addressed before it becomes a practical technology for solving problems efficiently.
Getty Images.
Monitoring quantum computing patent activity can be a valuable tool for investors
Monitoring patent activity can be a valuable tool for investors, particularly for those interested in emerging technologies. Patents grant inventors a monopoly on their inventions for a specified period of time.
Of course, monitoring patent activity is just one tool in a tech investor's toolkit. It certainly doesn't replace reviewing a company's quarterly reports. Monitoring liquidity metrics -- such as cash flows, cash on the balance sheet, and cash burn -- is particularly critical for companies that are not yet profitable.
That said, let's dive into the patent activity of the major quantum computing players, both the pure plays -- such as IonQ (IONQ +1.73%), Rigetti Computing (RGTI +3.53%), and D-Wave Quantum (QBTS 0.49%) -- and the non-pure-plays, including big technology companies IBM (IBM +2.41%), Alphabet (GOOG +3.26%)(GOOGL +3.50%), Microsoft (MSFT 1.48%), and Amazon (AMZN +1.64%).
The patent data in the chart below is sourced from Harrity & Harrity, a U.S. patent law firm specializing in electrical and mechanical technology areas.
NYSE: IBM
Key Data Points
Top 15 companies by number of U.S. quantum computing patents obtained in 2024
| Rank | Company | Country | Number of 2024 U.S. Quantum Computing Patents | Year-Over-Year Change |
|---|---|---|---|---|
| 1 | IBM | U.S. | 117 | (16%) |
| 2 | Alphabet | U.S. | 63 | 13% |
| 3 | Microsoft | U.S. | 21 | (45%) |
| 4 (tie) | Rigetti Computing | U.S. | 19 | 36% |
| 4 | Wells Fargo | U.S. | 19 | (14%) |
| 6 | Amazon | U.S. | 17 | 31% |
| 7 (tie) | Honeywell | U.S. | 14 | 1,300% |
| 7 | IonQ | U.S. | 14 | 8% |
| 9 | Psiquantum | U.S. | 13 | 117% |
| 10 (tie) | Bank Of America | U.S. | 11 | 38% |
| 10 | Intel | U.S. | 11 | (58%) |
| 10 | Origin Quantum Computing Technology (Hefei) | China | 11 | Flat |
| 10 | Tencent Holdings | China | 11 | 175% |
| 14 (tie) | D-Wave Quantum | Canada | 9 | 50% |
| 14 | Iqm Finland Oy | Finland | 9 | 350% |
What are some key takeaways from this chart?
- The U.S. was way ahead of any other country or region in U.S. quantum computing patents awarded in 2024.
- IBM and Alphabet were light-years ahead of other companies in terms of 2024 U.S. quantum computing patents. Indeed, IBM and Alphabet are widely regarded as leaders in the quantum computing space, as I mentioned in my January 2025 article on the Defiance Quantum exchange-traded fund (ETF).
- Among the pure-play quantum computing companies, Rigetti had the most U.S. quantum patents obtained in 2024. However, D-Wave's total number of U.S. quantum computing patents exceeds those of both Rigetti and IonQ.
Was Nvidia awarded any U.S. quantum computing patents in 2024?
For those wondering whether artificial intelligence (AI) tech leader Nvidia was awarded any 2024 U.S. quantum computing patents, the answer is yes. It had three such patents, according to Harrity & Harrity. That number was flat compared to the prior year.
I anticipate Nvidia will be racking up more such patents because it has recently increased its involvement in this emerging technology. Perhaps Nvidia already has more, but 2025 numbers from a trustworthy source are not yet available.
Nvidia's latest move in this space was in late October, when it introduced NVQLink. This product connects quantum processors with graphics processing unit (GPU)-powered AI supercomputers, allowing companies and researchers to build hybrid quantum-classical computers. Nvidia is the leader in AI-enabling GPUs.
NYSE: QBTS
Key Data Points
Quality of U.S. quantum patents
Some patents are more valuable than others. One widely used metric for gauging a company's patent quality is citation frequency. A patent that is highly cited by subsequent patent applications will tend to be foundational and essential to further inventions in a particular field.
There are three standouts in terms of the average number of citations per U.S quantum patent, according to data from Harrity & Harrity. (My number for Rigetti doesn't match the report by this source because it had listed Rigetti LLC and Rigetti Inc. I combined the two.)
| Company | Average Forward Citations Per U.S. Quantum Computing Patent |
|---|---|
| D-Wave | 25.3 |
| Northrop Grumman | 21.2 |
| Rigetti | 13.0 |
Northrop Grumman, one of the largest U.S. aerospace and defense companies, is a major player in the quantum technologies space. It's ranked as No. 9 in total number of U.S. quantum patents, with 56.
