NEW YORK—Bivora Capital Management (“BCM”), a long/short investment partnership, today released a comprehensive assessment of the quantum computing sector, outlining a short thesis on Quantum Computing Inc. (QUBT), D-Wave Quantum (QBTS), Rigetti Computing (RGTI), and IonQ (IONQ). The analysis highlights significant valuation dislocations, technological barriers, and governance concerns across the industry.

BCM’s research concludes that publicly traded quantum computing companies remain valued far above their intrinsic worth. Although the field of quantum computing is scientifically promising, BCM believes commercial-grade quantum systems remain at least a decade away due to unresolved physics challenges, low qubit reliability, and a lack of viable business models.

“Recent price action in quantum equities reflects speculation rather than progress.”

Quantum computers operate using qubits, which leverage superposition and entanglement to perform certain computations more efficiently than classical systems. However, BCM’s analysis emphasizes that the field still faces fundamental scientific limitations.

Modern quantum hardware remains exceptionally fragile. Current systems are highly sensitive to temperature, electromagnetic noise, and environmental interference, resulting in high error rates that require massive quantum error correction. Google’s widely publicized Willow chip—announced in December 2024—contains 105 qubits. By contrast, meaningful commercial applications would likely require 100,000 to one million stable qubits.

“Even with the world’s top companies pushing boundaries, the gap between today’s prototypes and a functional quantum machine is enormous.”

The report cites recent announcements from Google, Microsoft, and Amazon as evidence of progress, but highlights widespread skepticism within the scientific community.

• Microsoft claimed discovery of the first topological qubits, which would theoretically reduce noise. However, the claim lacked peer-reviewed validation and was challenged by quantum physicist Henry Legg in a formal critique presented to the American Physical Society.

• Amazon unveiled a quantum chip with limited improvements in error correction, falling short of expectations for meaningful breakthroughs.

• Google continues to advance hardware but remains far from a commercially viable system.

BCM concludes that if trillion-dollar firms with elite research teams are still struggling, smaller firms with limited resources are unlikely to achieve breakthroughs first.

Company-Level Analysis

Quantum Computing Inc. (QUBT)

BCM identifies QUBT as the most problematic of the group. The company is currently the subject of a securities fraud class action alleging falsified revenue, fabricated partnerships, and misrepresented product capabilities. Independent research from Capybara Research reached similar conclusions, accusing QUBT of operating a stock promotion scheme with no genuine technological foundation.

“QUBT’s scientific claims are unsupported, and the company’s financial disclosures raise major red flags,” Chun said.

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D-Wave Quantum (QBTS)

QBTS is considered marginally more legitimate. The firm has sold one quantum annealer to a German research consortium, but acknowledges limited near-term commercial demand. The company recently claimed that its annealing system outperformed a leading classical supercomputer, supported by a non-peer-reviewed Science paper. Early feedback from scientific forums shows skepticism regarding methodology and reproducibility.

QBTS is also the subject of an investor investigation by Pomerantz Law, adding legal uncertainty to its operational risks.

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IonQ (IONQ)

IonQ recently underwent leadership turbulence following CEO Peter Chapman’s resignation and sale of approximately $75 million in stock. The incoming CEO, Niccolo De Masi, has limited experience in quantum research. BCM notes that IonQ has recently engaged in a series of acquisitions of small, unrelated quantum companies—moves interpreted as attempts to compensate for limited internal progress.

IonQ’s latest hardware features 36 qubits, significantly below Google’s 105-qubit system, indicating meaningful technology lag.

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Rigetti Computing (RGTI)

RGTI is viewed as the least speculative relative to peers. The company acknowledges that its technology is many years from commercial viability and has avoided the most egregious promotional behavior seen in competitors. Nevertheless, the stock’s valuation has appreciated sharply despite no material operational improvement. With no revenue generation and limited near-term pathways to monetization, BCM believes current pricing is unjustified.

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