AMD makes surprise quantum computing move with new investment

Advanced Micro Devices Inc. (AMD, Financials) said it is deepening its relationship with PsiQuantum to build computing infrastructure for large-scale, fault-tolerant quantum systems.

The partnership expands on the companies' current relationship that involves AMD's Versal programmable processors.

Under the extended collaboration, the partners will integrate AMD's Instinct GPUs, EPYC CPUs and ROCm software with PsiQuantum's silicon photonics technology.

The businesses want to build systems that run quantum computers alongside existing high-performance computing and artificial intelligence infrastructure.

AMD also is planning to take an ownership stake in PsiQuantum. The firms did not reveal the sum or any financial conditions.

PsiQuantum is an anchor tenant of the Illinois Quantum and Microelectronics Park in Chicago, where it is developing commercial quantum computing systems.

The collaboration coincides with federal research goals in chemistry, materials science, physics and applied mathematics.

Quantum computer systems are still an early industry, with firms investing in technologies that might ultimately tackle issues that are beyond the reach of traditional computers.

IBM is also extending its footprint in the area, with plans to invest $10 billion over the next five years.

For AMD, the deal represents another potential market for its processors and computer software. However, the firms have not revealed a schedule for commercialization or revenue predictions.

Investors will look for technical milestones and updates on PsiQuantum's development initiatives to gage the commercial viability of the cooperation.