This post from McKinsey Digital highlights key trends that should pique your interest.

Investors are pouring record sums ($2.35 billion (about $7 per person in the US) in 2022!) into established quantum startups across computing, communications, and sensing. This funding surge reflects a growing belief that these technologies are on the cusp of major commercial breakthroughs. While scientific progress has delivered exciting milestones like the Nobel Prize-winning work on quantum entanglement and the development of ever-more-powerful processors, there are still hurdles to overcome. The slowdown in patent filings and research papers suggests these challenges could be the breeding ground for the next generation of disruptive quantum tech companies.

The Talent Gap: A Narrowing Window of Opportunity:

The good news: universities are churning out more graduates with relevant skills, thanks to new quantum tech programs. This creates a valuable talent pool.

The not-so-bad news: a talent gap still exists. However, it's shrinking. Early investors can capitalize on this by backing companies with strong leadership teams who can attract and retain top talent. Additionally, upskilling existing tech talent could be a strategic advantage for your portfolio companies.

Quantum technology holds immense potential for disruptive innovation across various industries. Recent advancements demonstrate consistent progress, and with the right talent in place, these challenges can be overcome. Increased investment and a growing talent pool create a fertile ground for lucrative opportunities.

So what are the next steps for investors?

• Consider diversifying your portfolio with exposure to promising quantum tech startups.
• Look for companies across the value chain – computing hardware and software, communication solutions, and advanced sensors.
• Partner with portfolio companies to identify and address talent gaps through strategic recruitment and upskilling initiatives.

Stay tuned for further insights! We'll be delving deeper into specific quantum tech applications and investment strategies.