NEC Halts Development of Quantum Computer Hardware

Insider Brief

• NEC has halted development of quantum computer hardware after determining that commercialization would take too long to produce an adequate return on investment.
• The company will continue developing quantum annealing, quantum-inspired computing and related services using conventional computer systems.
• The decision ends a hardware effort that included the world’s first demonstration of a superconducting solid-state qubit in 1999 and an eight-qubit annealing prototype unveiled in 2023.
• Image: NEC

NEC has ended its effort to build a working quantum computer, pulling back from a field that the company helped pioneer.

The company discontinued development of a physical quantum computing system at the end of March, Nikkei Asia reported. NEC apparently concluded that bringing the technology to market would take too long to produce an adequate return on its investment.

NEC will continue working on related technologies and services, including quantum annealing — which is an approach designed to find efficient answers to problems involving a large number of possible combinations, such as optimizing delivery routes, production schedules or investment portfolios.

The company also plans to expand services that use conventional computers to imitate some of the problem-solving methods associated with quantum machines. These so-called quantum-inspired systems do not require quantum hardware and can be deployed using existing computing infrastructure.