IQM raises $320 million Series B as it pushes toward error corrected quantum systems

IQM Quantum Computers, a Finland headquartered company that builds superconducting quantum hardware and full stack systems, announced on 3 September 2025 that it raised $320 million, about €275 million, in a Series B financing round. The company says the new capital brings total funding to roughly $600 million and will be used to scale fabrication, data centre infrastructure and assembly capacity, expand commercial presence in the United States and other markets, and accelerate development toward fault tolerant quantum processors capable of supporting many more qubits than today.

Who invested and what they say

The Series B was led by Ten Eleven Ventures, a U.S. investor focused on cybersecurity, marking IQM’s first U.S. lead investor. Existing investor Tesi increased its commitment. Other participants named by IQM include Finnish pension funds Elo and Varma, strategic investors from the Schwarz Group and Winbond Electronics Corporation, and public or regional investors such as Bayern Kapital and the European Innovation Council, listed among participants. Goldman Sachs International acted as sole placement agent and Ten Eleven partner Alex Doll will join IQM’s board.

What IQM plans to do with the cash

IQM says the capital will be allocated to three broad areas. First, the company will expand chip fabrication capacity in Finland and advance manufacturing methods to support larger error corrected processors. Second, it will scale data centre and assembly infrastructure globally to support both on premises deliveries and cloud access. Third, IQM will push the technology roadmap toward large, error corrected systems with the goal of reaching quantum advantage in the 2030s, according to company statements. IQM also highlighted a continued focus on commercial growth in the United States and other markets.

Technology foundations and prior EIC-backed progress

IQM’s public materials point to a development path that began with small superconducting quantum processors and progressed through projects supported by European Innovation Council programmes. The company cites a past EIC Accelerator funded project called Prometheus, from roughly 2020 to 2022, where its qubit-coupler design and fabrication methods were advanced. IQM reports a demonstrated two qubit gate fidelity of 99.8 percent as part of that work. The company also highlights progress in quantum integrated device fabrication and packages that combine planar and 3D integrated chips and modules.

Key technical concepts explained

Why this raise matters for the European quantum ecosystem

Large private financing rounds in deep tech can accelerate progress and signal investor confidence. For the European innovation ecosystem, IQM’s raise matters in several ways. It underlines the capacity of European quantum startups to attract U.S. and institutional investors. It also shows that public innovation programmes such as the European Innovation Council can play a role in de‑risking early technology development and helping companies reach capital markets.

That said, private capital and early technology milestones do not eliminate the substantial technical and industrial risks associated with scaling superconducting quantum systems. Building reliable manufacturing lines, securing supply chains for specialised materials, recruiting and retaining skilled personnel, and delivering repeatable performance across many site installations will determine commercial success more than single fidelity metrics. Public investors and pension funds may be exposed to technology risk over a long development horizon.

Market and security considerations

Ten Eleven Ventures framed its investment in the context of cyber and secure computing. That reflects an emerging overlap in investor communities because quantum technology has implications for cryptography, for secure hardware and for next generation computing architectures. A vocal industry narrative ties quantum computing to national competitiveness and digital sovereignty. European policymakers have highlighted the strategic value of quantum technology and the EIC involvement here signals alignment between private capital and public strategic objectives.

Questions and caveats to watch

The key claims and plans in IQM’s announcement raise a set of practical questions. How rapidly can chip fabrication yield and module assembly be improved while keeping coherence and gate performance? What is the realistic timeline for achieving error corrected logical qubits at scale? How will IQM translate R and D leadership into sustainable commercial revenues given competition from U.S., Chinese and other European players? How exposed are investors to the long timelines typical of foundational hardware scale ups? Answers to these questions will matter to customers, suppliers and public investors.

What to watch next

Watch for public technical milestones such as demonstrations of error reduction schemes, small scale error correction experiments, improvements in multi qubit coherence across integrated modules, expansion of fabrication lines in Finland and new commercial deals for on-premise deployments. Monitor regulatory and export control developments that affect cross-border sales and supply chains. Track board and leadership changes and how Ten Eleven’s involvement shapes U.S. market access and partnerships.

IQM’s Series B is a sizable vote of confidence from a mix of private and public investors. It will buy time and resources to pursue an ambitious roadmap. But the transition from high fidelity components to industrialised, fault tolerant quantum computers remains one of the hardest engineering challenges in computing. Continued scrutiny of technical evidence and transparent reporting of milestones will be critical for investors and policymakers who want to judge progress objectively.