2025 - The Year of Quantum

Why It Matters

The emerging quantum ecosystem offers immediate revenue streams and diversification for tech investors, while positioning Europe as a strategic hub in a rapidly maturing market.

Key Takeaways

• Quantum startups delivering near‑term cybersecurity solutions.
• Europe benefits from strong research ecosystem and talent pool.
• Notion Capital targets middleware, networking, and quantum sensing.
• Fault‑tolerant computers remain years away, but markets are active.
• Early quantum investments already generating measurable returns.

Pulse Analysis

The quantum computing landscape is transitioning from a purely academic pursuit to a vibrant commercial sector. Venture capitalists are now funding companies that leverage quantum‑enhanced algorithms for encryption, data routing, and sensor precision, delivering tangible products without waiting for fully error‑corrected machines. This shift mirrors the early days of cloud computing, where incremental improvements generated sizable market traction and set the stage for later breakthroughs. Investors recognize that the value chain—hardware, software, and services—offers multiple entry points for capital deployment.

Europe, and particularly the United Kingdom, enjoys a distinct advantage in this nascent market. Government initiatives such as the UK Quantum Technologies Programme funnel billions into research, while a dense network of universities produces a pipeline of skilled quantum engineers. The region’s collaborative ecosystem reduces time‑to‑market for spin‑outs and attracts multinational R&D centers. Coupled with favorable regulatory frameworks for emerging technologies, Europe positions itself as a fertile ground for scaling quantum enterprises ahead of many competitors.

Notion Capital’s investment thesis reflects these dynamics, targeting startups that bridge the gap between quantum hardware and real‑world applications. By focusing on middleware that abstracts quantum complexity, networking solutions that integrate quantum‑secure links, and sensing platforms that exploit quantum entanglement, Notion aims to capture early value creation. This strategy not only diversifies its portfolio but also aligns with broader industry trends toward quantum‑ready infrastructure, offering investors a pathway to benefit from both near‑term returns and long‑term technological disruption.

2025 - The Year of Quantum

Andy Leaver · Operating Partner, Notion Capital & CEO, Arqit

Fault‑tolerant quantum may still be years away, but the investable opportunity is here today.

From cybersecurity and networking to middleware and sensing, quantum is already creating real companies and real returns.

As a partner at Notion Capital and CEO of Arqit, I split my time between the venture side and the sharp end of quantum cybersecurity. I want to answer a few questions in this piece:

• Do we have to wait for a fully error‑corrected, cryptography‑breaking quantum computer before meaningful companies can be built?

• Does the UK and Europe have an advantage?

• And where, specifically, is Notion Capital looking to invest as this new technology emerges?