D-Wave Quantum (QBTS) 27th Annual Needham Growth Conference summary

Product and technology advancements

• Launching Advantage 2 quantum computer in 2025, offering higher connectivity, longer coherence, and greater problem precision.

• 1,200-qubit and 4,400-qubit versions available for early customer access; full production system expected by year-end.

• Progressing on gate model system with improved qubit fidelity and plans to demonstrate error correction this year.

• Advancing hybrid solvers for larger, more complex problems and targeted applications.

• Early integration of quantum computing in AI model training shows potential for faster, more energy-efficient training.

Commercial adoption and business model

• 59% of revenue from commercial customers, positioning as a leader in commercial quantum computing.

• Shift towards offering complete system sales in addition to quantum compute as a service, driven by customer demand for on-premises solutions.

• Recent system sales contributed to a 120% YoY bookings increase, with $18M in Q4 bookings (500% YoY growth for the quarter).

• Over $175M in cash reserves, with a new $150M ATM facility for financial flexibility.

• Growing interest in on-premises systems, including government and international customers.

Differentiation and market positioning

• Only provider of commercial annealing quantum computers, uniquely suited for optimization problems.

• Annealing systems solve real-world business challenges like workforce scheduling, routing, and cargo loading.

• Demonstrated quantum supremacy on material simulation, solving problems millions of times faster than classical supercomputers.

• Gate model systems are years away from commercial viability; annealing is available and in use today.