The quantum computing landscape just shifted dramatically. PsiQuantum’s massive $1 billion Series E funding round, led by BlackRock, Temasek, and Baillie Gifford, has valued the company at $7 billion. The company estimates 2027 to deliver their first commercial quantum computing system signaling we’re approaching the cryptographic cliff faster than many anticipated.
The Million-Qubit Reality Check
PsiQuantum was founded on the premise that commercially valuable quantum computing requires error correction—and therefore on the order of a million physical qubits. This isn’t just ambitious engineering—it’s a direct threat to current cryptographic infrastructure. If they are successful in building a million-photon quantum computer with full error correction, cryptographically relevant quantum computing (CRQC) is essentially achieved.
What makes this particularly concerning from a Post-Quantum Cryptography (PQC) perspective is PsiQuantum’s photonic approach. Unlike matter-based qubits such as ion traps or superconducting qubits, photons have the ability to be easily non-locally connected using conventional optical fiber, giving them unique advantages in implementing quantum algorithms that could break current encryption.
The Cryptographic Countdown
PsiQuantum has already demonstrated the practical implications of their approach. The company published research projecting a 700x reduction in computational resource requirements for breaking Elliptic Curve Cryptography (ECC) using a fault tolerant quantum computer. This isn’t theoretical anymore—it’s engineering optimization of cryptographic attacks. The company is aiming to deliver its first commercial quantum computing system by the end of 2027.
The PQC Imperative
This funding announcement represents more than venture capital confidence—it’s a clarion call for accelerated PQC migration. While cracking 256-bit ECC keys still requires quantum computers with millions of qubits, PsiQuantum’s well-funded path toward exactly that scale means the “quantum winter” narrative is officially over.
Organizations must recognize that PQC migration isn’t just about algorithm replacement but rather infrastructure transformation. The same networking advantages that make PsiQuantum’s photonic qubits promising for quantum computing also make them particularly suited for implementing Shor’s algorithm against current public key cryptography.
Racing Against the Quantum Clock
The message is clear: the quantum threat is no longer a distant possibility. With backing from major institutional investors and technology giants, quantum computing companies have the resources for innovation to accelerate their timelines and we should expect similar announcements from other quantum vendors in the near future.
Organizations must match this urgency with equally aggressive PQC deployment schedules. Those that haven’t begun their PQC journey need to start now to protect against criminal actors that will inevitably use the same innovations to carry out attacks. You don’t have to do this alone. We are here to help you in your migration journey.
