Diraq banks another $10m in Series A funding


Sydney quantum startup Diraq has chalked up another $10 million in funding through an expanded Series A as the company continues its efforts to develop the world’s first fully error-corrected quantum computer.

The company announced the additional funding on Tuesday, taking the total Series A2 round led by Frech venture capital fund Quantonation from $23 million to more than $33 million.

Main Sequence Ventures, Taronga Ventures, Uniseed, UniSuper, Co:Act Capital and existing investor and research partner, UNSW, have invested in Diraq since the round was first announced in February.

Diraq founder and chief executive Andrew Dzurak with investors, Image: Diraq

The Series A is now valued at more than $63 million, while total investment in the company, including through Australian and US research grants, sits at around $194 million.

Diraq plans to use the funding to expanding its Australian team, launching in the US and strengthen existing international partnerships. The first part of the Series A — around $30 million — came when the company was spun out of UNSW in 2022.

The latest expansion of the funding round comes after Diraq revealed it had set a new record in terms of controls accuracy for qubits using its technology – a key quantum computing proof point, according to found Andrew Dzurak.

The technical milestone keeps the company on track to build a fully error-corrected quantum computer by the end of 2028, potentially ahead of other local and international players.

Diraq combines existing silicon hardware with its patented complementary metal-oxide-semiconductor (CMOS) qubits, an approach that differs to Silicon Quantum Computing and PsiQuantum.

PsiQuantum, which has secured almost $940 million in equity and loans from the federal and Queensland governments, is targeting 2027 for quantum computer, which uses photons as a representation of qubits instead of electrons.

Main Sequence Ventures managing partner Bill Bartee said the company’s “breakthroughs are a testament to Australia’s leading position globally in quantum computing”.

“The world-class team, patent portfolio, and unique approach should advance the field by bringing scalable, spin-based quantum computers into the real world,” Mr Bartee said.

Avi Naidu, co-founder and managing partner at Taronga Ventures, added that Diraq’s technology has the potential to “significantly impact the real asset sector, representing a step change toward the next generation of data infrastructure”.

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