Canada invests $140M in quantum computing firm Xanadu

Xanadu Quantum Technologies Limited has announced it has signed a definitive agreement with the Government of Canada for CAD $195 million (about USD 140 million) support through the Strategic Response Fund, administered by Innovation, Science and Economic Development Canada. 

The funding is expected to help enable Xanadu to establish the advanced manufacturing facilities it needs to build fault-tolerant utility-scale photonic quantum computers, the Canadian company said.

The CAD $195 million federal commitment formalizes the complete federal portion of the potential funding of up to CAD $390 million in support announced on March 11, 2026 for Project OPTIMISM.

“This agreement is a major milestone for Xanadu and for Canada's ambition to lead in quantum technology and advanced manufacturing," said Dr. Christian Weedbrook, Founder and Chief Executive Officer of Xanadu. “We believe building utility-scale quantum computers will require a new generation of highly specialized manufacturing capabilities.”  

“Quantum technology represents a tremendous opportunity to create good jobs, strengthen our economic sovereignty, and grow world-leading industries here at home,” said Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions. “By investing in advanced manufacturing and innovation in Canada, we are building a more resilient economy, developing Canadian talent, and ensuring we remain competitive in a rapidly changing world.”