One of the hallmarks of this century will be the progress made toward a new paradigm in computing: quantum computing. A quantum computer has the potential to quickly and efficiently solve problems that conventional computers can't tackle by leveraging principles of quantum physics, such as superposition. While still in its early stages, the quantum computing market is already expanding, and there's much more growth expected in the years to come. This expected growth is thanks to the efforts of computing companies that see the benefits of a quantum future and want to capitalize on it. Tractica says the enterprise quantum computing market will reach $2.2 billion by 2025, up from $39.2 million in 2017.
As the traditional role of the CIO keeps evolving, 2019 promises higher pressure on them to deliver IT solutions that will meet the expectations of customers, partners and employees. According to IDC, almost half of IT spending will be cloud-based in 2018, "reaching 60% of all IT infrastructure and 60-70% of all software, services and technology spending by 2020." It is imperative for CIOs to see cloud computing as a critical element of their competitiveness, not just as a cost that needs to be carefully managed. In 2019, CIOs will have to balance the capabilities of the newest cloud technology while focusing on security. There will be an explosion of new cloud services and solutions, and here are some stats to prove it.
According to the new market research report "Quantum Computing Market by Offering (Systems and Consulting Solutions), End-User Industry, and Geography; QCaaS Market by Application (Optimization, Machine Learning, and Material Simulation) and Geography - Global Forecast to 2024", published by MarketsandMarkets, the Quantum Computing Market is expected to grow from USD 93 million by 2019 to USD 283 million by 2024; it is estimated at a CAGR of 24.9%. Whereas, the market for QCaaS is expected to grow from USD 4 million by 2019 to USD 13 million by 2024 at a CAGR of 26.8%. The need for robust computing that has the potential to overcome complexities involved in cancer-specific drug discovery and in evaluating portfolio risk is a major factor contributing to the market growth. Quantum computing is used for material simulation in various industries, such as healthcare, automotive, entertainment, banking and finance, and defense. Companies such as D-Wave Systems Inc. (Canada), 1QB Information Technologies Inc. (Canada), and QxBranch, LLC (US) are working toward providing a platform to enhance the availability, usability, and accessibility of quantum computers in the material simulation applications.
As enterprises continue to leverage artificial intelligence (AI), the chips assigned to do AI-specific tasks are in high-demand. The global AI chip market is expected to increase from just over $5 billion to nearly $92 billion by 2025. This is according to a report by Allied Market Research, which also pegged Asia-Pacific as the fastest growing regional buyer of the technology. There are numerous explanations behind the increase in AI and the chips that power AI systems. The Emergence Of Smart Cities: With 65% of the world's population projected to be living in urban areas by 2040, more cities are harnessing AI to improve living standards, collect data, and manage resources efficiently.
Quantum computing is an increasingly hot area for research and investment, with corporations like IBM, Google, Alibaba, Intel, and Lockheed Martin launching quantum computing projects aimed at bringing the technology -- meant to speed up the process of solving complex equations -- to commercial viability. In tandem with company investments, the European Union, US, and Chinese governments, among others, are also backing projects aimed at building commercial quantum computers. In the US, NASA, the NSA, and the Los Alamos National Laboratory are all involved in quantum computing projects. And in August this year, China launched the world's first quantum satellite in the quest for more secure communications. However, there are only a small number of private companies in the industry that have been able to raise over $1M, which suggests that commercial application of quantum computers -- for both hardware and software -- is nascent at this point, despite the hype.