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Europe Enterprise Quantum Computing Market

ID: MRFR/ICT/62165-HCR
200 Pages
Aarti Dhapte
October 2025

Europe Enterprise Quantum Computing Market Research Report By Component (Software, Service, Hardware), By Deployment (On-Cloud, Premise, Hybrid), By End-User (Automotive, BFSI, Chemical, Medical), By Technology (Quantum Annealing, Superconducting, Trapped Ion, Quantum Dot, Others), and By Regional (Germany, UK, France, Russia, Italy, Spain, Rest of Europe)- Forecast to 2035

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Europe Enterprise Quantum Computing Market Summary

As per MRFR analysis, the Europe enterprise quantum-computing market was estimated at 640.0 USD Million in 2024. The Europe enterprise quantum-computing market is projected to grow from 786.11 USD Million in 2025 to 6145.1 USD Million by 2035, exhibiting a compound annual growth rate (CAGR) of 22.83% during the forecast period 2025 - 2035.

Key Market Trends & Highlights

The Europe enterprise quantum-computing market is poised for substantial growth driven by innovation and strategic initiatives.

  • Germany leads the Europe enterprise quantum-computing market, showcasing robust investment in research and development.
  • The UK emerges as the fastest-growing region, reflecting a surge in quantum-as-a-service models and talent development.
  • There is a notable emphasis on education and training to cultivate a skilled workforce in quantum technologies.
  • Key market drivers include growing demand for advanced computing solutions and government initiatives that foster innovation.

Market Size & Forecast

2024 Market Size 640.0 (USD Million)
2035 Market Size 6145.1 (USD Million)

Major Players

IBM (US), Google (US), Microsoft (US), D-Wave Systems (CA), Rigetti Computing (US), IonQ (US), Alibaba (CN), Honeywell (US), Xanadu (CA)

Europe Enterprise Quantum Computing Market Trends

The enterprise quantum-computing market is currently experiencing a transformative phase, driven by advancements in technology and increasing interest from various sectors. Organizations are recognizing the potential of quantum computing to solve complex problems that classical computers struggle with. This shift is evident in the growing number of collaborations between tech companies and research institutions, aiming to develop practical applications for quantum technologies. As a result, investment in this field is on the rise, with both public and private sectors allocating substantial resources to research and development. In addition, the regulatory landscape is evolving to support innovation while ensuring ethical considerations are addressed. Governments are actively promoting initiatives to foster talent and create a skilled workforce capable of navigating the complexities of quantum computing. This focus on education and training is crucial, as it lays the groundwork for future advancements and applications. The enterprise quantum-computing market appears poised for significant growth, with a variety of industries exploring its capabilities to enhance efficiency and drive innovation.

Increased Investment in Research and Development

There is a noticeable trend of heightened investment in research and development within the enterprise quantum-computing market. This influx of funding is primarily driven by both governmental initiatives and private sector interest, aiming to accelerate the development of quantum technologies. As organizations seek to harness the power of quantum computing, they are likely to allocate more resources towards innovative projects and collaborations.

Emergence of Quantum-as-a-Service Models

The rise of Quantum-as-a-Service (QaaS) models is becoming increasingly prevalent in the enterprise quantum-computing market. This trend allows businesses to access quantum computing resources without the need for substantial upfront investments in hardware. By leveraging cloud-based platforms, organizations can experiment with quantum algorithms and applications, thus democratizing access to this advanced technology.

Focus on Talent Development and Education

A growing emphasis on talent development and education is evident in the enterprise quantum-computing market. As the demand for skilled professionals increases, educational institutions and organizations are collaborating to create specialized programs. This focus on training is essential for building a workforce capable of driving innovation and addressing the challenges associated with quantum technologies.

Europe Enterprise Quantum Computing Market Drivers

Rising Cybersecurity Concerns

Rising cybersecurity concerns are driving interest in the enterprise quantum-computing market. As cyber threats become more sophisticated, organizations are seeking advanced solutions to protect sensitive data. Quantum computing offers the potential for enhanced security protocols, such as quantum key distribution, which can significantly improve data encryption methods. This heightened focus on cybersecurity is prompting businesses to explore quantum technologies as a means to safeguard their operations. The enterprise quantum-computing market is thus likely to see increased adoption as organizations prioritize security in their digital transformation strategies.

Increased Focus on Sustainability

An increased focus on sustainability is emerging as a significant driver in the enterprise quantum-computing market. Organizations are increasingly aware of the environmental impact of their operations and are seeking innovative solutions to reduce their carbon footprint. Quantum computing has the potential to optimize resource usage and improve energy efficiency in various sectors, including manufacturing and logistics. By leveraging quantum algorithms, companies can enhance their operational efficiency while minimizing waste. This alignment with sustainability goals is likely to attract investments in the enterprise quantum-computing market, as businesses strive to meet both economic and environmental objectives.

Government Initiatives and Funding

Government initiatives and funding play a crucial role in shaping the enterprise quantum-computing market. Various European governments are recognizing the strategic importance of quantum technologies and are investing heavily in research and development. For example, the European Union has allocated substantial funds to support quantum research projects, aiming to position Europe as a leader in this field. These initiatives not only provide financial backing but also create a conducive environment for innovation and collaboration among industry players. As a result, the enterprise quantum-computing market is likely to benefit from increased public investment, fostering growth and technological advancements.

Strategic Collaborations and Partnerships

Strategic collaborations and partnerships are becoming a pivotal driver in the enterprise quantum-computing market. Companies are increasingly forming alliances with academic institutions, research organizations, and technology firms to leverage expertise and resources. These collaborations facilitate knowledge sharing and accelerate the development of quantum technologies. For instance, partnerships between tech giants and universities have led to breakthroughs in quantum algorithms and hardware. Such initiatives not only enhance innovation but also contribute to the overall growth of the market, as they enable companies to access cutting-edge research and development. The collaborative approach is likely to shape the future landscape of the enterprise quantum-computing market in Europe.

Growing Demand for Advanced Computing Solutions

The enterprise quantum-computing market in Europe is experiencing a surge in demand for advanced computing solutions. Industries such as finance, pharmaceuticals, and logistics are increasingly seeking quantum computing capabilities to solve complex problems that traditional computing cannot efficiently address. This demand is driven by the need for faster data processing and enhanced analytical capabilities. According to recent estimates, the market is projected to grow at a CAGR of approximately 30% over the next five years. As organizations recognize the potential of quantum computing to revolutionize their operations, investments in this technology are expected to rise significantly, further propelling the enterprise quantum-computing market.

Market Segment Insights

By Component: Software (Largest) vs. Hardware (Fastest-Growing)

In the Europe enterprise quantum-computing market, the distribution of market share among the component segment values reveals that Software holds the largest portion, driven by increasing demand for advanced quantum algorithms and application development. Hardware follows closely, propelled by innovations in quantum processors and increased investments in quantum hardware startups. Service, while essential, constitutes a smaller fraction of the market, as companies seek integrated solutions combining multiple components for maximum efficacy. Growth trends indicate that Software will continue to lead, bolstered by a surge in enterprise adoption of quantum technologies across various industries. Hardware is identified as the fastest-growing segment due to rapid advancements in quantum chip technologies and enhanced scalability of quantum systems. The Service segment, though growing, is expected to experience slower growth relative to the other two due to the niche nature of quantum consulting and integration services.

Software (Dominant) vs. Hardware (Emerging)

The Software segment represents a dominant force in the markets, characterized by a diverse range of applications such as quantum simulations, cryptography, and optimization solutions. Companies in this space are investing heavily in research and development to enhance software capabilities and create user-friendly platforms for enterprises to leverage quantum computing. On the other hand, the Hardware segment, classified as emerging, showcases rapid innovations in quantum processors and qubit technologies, attracting venture capital and government backing. This segment is witnessing significant interest from industries seeking high-performance computing solutions, underscoring its importance in the overall quantum computing ecosystem in Europe.

By Deployment: On-cloud (Largest) vs. Hybrid (Fastest-Growing)

In the Europe enterprise quantum-computing market, the On-cloud segment has established itself as the largest deployment method, capturing a substantial share of the market. Organizations are increasingly adopting cloud-based solutions due to their scalability and accessibility, making On-cloud an appealing option for enterprises looking to harness quantum computing capabilities without significant upfront investment. The Premise segment, while notable, lags behind in share but remains relevant for organizations requiring dedicated infrastructure for sensitive applications. Looking forward, the Hybrid deployment model is emerging as the fastest-growing segment, driven by its ability to combine the benefits of both On-cloud and Premise solutions. Enterprises are seeking flexibility in their quantum computing strategies, allowing them to dynamically allocate resources based on specific needs. This trend suggests that the Hybrid approach will continue to gain traction, reflecting the evolving demands of businesses in the quantum computing landscape.

On-cloud (Dominant) vs. Hybrid (Emerging)

The On-cloud deployment model is characterized by its ability to deliver quantum computing resources via cloud platforms, providing unparalleled flexibility and ease of use for enterprises. This model eliminates the need for heavy initial capital investment in hardware, allowing businesses to pay for only what they need. With the convenience of access and collaboration, many organizations are embracing the On-cloud approach to stay competitive. Conversely, the Hybrid deployment model is gaining momentum as it merges the best aspects of both On-cloud and Premise solutions. Businesses are gravitating toward Hybrid setups to maintain control over sensitive data while still leveraging the advantages of cloud-based quantum services. As a result, Hybrid is becoming an increasingly attractive option for enterprises looking to optimize their quantum computing deployment.

By End User: BFSI (Largest) vs. Automotive (Fastest-Growing)

In the Europe enterprise quantum-computing market, the end-user segmentation reveals a significant presence of the BFSI sector, commanding a leading share due to its extensive reliance on data analysis, risk management, and advanced financial services. Automotive, while currently smaller, is rapidly carving its niche as manufacturers integrate quantum computing for optimization, predictive maintenance, and supply chain efficiencies, highlighting a diverging market dynamics. Growth trends indicate that while BFSI will continue to dominate the market share with its established infrastructure and investment in innovation, the automotive sector is emerging as the fastest-growing segment. This surge is driven by automotive companies' race to leverage quantum computing for tackling complex engineering problems and enhancing product development cycles in an increasingly competitive marketplace.

BFSI: Dominant vs. Automotive: Emerging

The BFSI segment is characterized by its robust adoption of quantum computing technologies, primarily aimed at improving financial modeling, enhancing cybersecurity protocols, and optimizing operations processes. Institutions within BFSI are investing heavily in research and development to stay ahead in competitive markets. In contrast, the automotive segment, though categorized as emerging, is witnessing rapid advancements with major manufacturers experimenting with quantum solutions for real-time data processing and vehicle design efficiency. This dynamic landscape illustrates a shift toward innovative solutions in automotive practices, driven by the industry's need for sustainable and high-performance vehicles.

By Technology: Superconducting (Largest) vs. Trapped Ion (Fastest-Growing)

The market share distribution among technology segment values in the enterprise quantum-computing landscape illustrates a strong preference for Superconducting technologies, which dominate the market due to their advanced capabilities and efficiency in processing. Quantum Annealing and Trapped Ion technologies also hold significant positions, each contributing to the evolving landscape with distinct advantages and applications. However, the Quantum Dot and Others segments represent smaller niches with specialized applications, gradually gaining interest as research progresses. In terms of growth trends and drivers, the Superconducting segment is poised for sustained leadership, driven by increasing investments and advancements in materials science. The Trapped Ion segment, on the other hand, is being recognized for its rapid advancements and potential for scalability, attracting emerging startups and established players alike. Overall, innovation in quantum technology and strategic partnerships are key factors fueling growth across these segments.

Technology: Superconducting (Dominant) vs. Trapped Ion (Emerging)

The Superconducting segment stands out as the dominant player in the technology landscape due to its unmatched processing power and ability to perform complex calculations efficiently. This segment benefits from ongoing research and significant funding, positioning it at the forefront of enterprise applications. Conversely, the Trapped Ion segment is emerging as a noteworthy competitor, characterized by its high-fidelity qubits and scalability potential. As companies look towards implementing quantum solutions, the Trapped Ion technology's adaptability and precision make it an attractive option for both research institutions and commercial enterprises, signaling a transformative shift in the competitive dynamics of the enterprise quantum-computing market.

Get more detailed insights about Europe Enterprise Quantum Computing Market

Regional Insights

Germany : Strong Investment and Innovation Ecosystem

Germany holds a commanding 35% market share in the European quantum computing sector, valued at $210.0 million. Key growth drivers include substantial government funding, a robust research community, and partnerships between academia and industry. Demand is rising in sectors like finance and pharmaceuticals, supported by initiatives such as the Quantum Strategy for Germany, which aims to enhance infrastructure and foster innovation in quantum technologies.

UK : Strong Academic and Industrial Collaboration

The UK commands a 25% market share, valued at $150.0 million, driven by a vibrant ecosystem of universities and tech firms. The UK government has launched the National Quantum Technologies Programme, promoting research and commercialization. Demand is particularly strong in telecommunications and cybersecurity, with increasing investments in quantum startups and innovation hubs across cities like London and Cambridge.

France : Government Support and Strategic Initiatives

France holds a 15% market share, valued at $100.0 million, bolstered by government initiatives like the Quantum Plan, which aims to invest €1.8 billion by 2025. The demand for quantum computing is growing in sectors such as energy and logistics. Key cities like Paris and Grenoble are emerging as innovation centers, fostering collaboration between major players like Atos and startups in the quantum space.

Russia : Government-Driven Technological Advancements

Russia captures a 10% market share, valued at $70.0 million, with growth driven by state-sponsored programs and investments in quantum research. The Russian government has prioritized quantum technologies in its digital economy strategy, leading to increased demand in defense and telecommunications. Key cities like Moscow and St. Petersburg are central to this development, with local players like Rusnano making significant contributions.

Italy : Focus on Research and Collaboration

Italy holds a 7.5% market share, valued at $50.0 million, with growth fueled by academic research and EU funding initiatives. The Italian government is actively promoting quantum technologies through the National Recovery and Resilience Plan. Key markets include Milan and Turin, where collaborations between universities and tech companies are fostering innovation in sectors like finance and healthcare.

Spain : Emerging Startups and Research Initiatives

Spain accounts for a 5% market share, valued at $40.0 million, with increasing interest in quantum computing driven by research initiatives and startup activity. The Spanish government is supporting quantum research through various funding programs. Cities like Barcelona and Madrid are becoming hubs for innovation, with local startups and established firms exploring applications in logistics and data analysis.

Rest of Europe : Varied Growth Across Smaller Markets

The Rest of Europe represents a 2.5% market share, valued at $20.0 million, with diverse growth patterns across smaller markets. Countries like Switzerland and the Netherlands are investing in quantum research, supported by EU funding. Demand is emerging in sectors such as healthcare and finance, with local players beginning to explore quantum applications. The competitive landscape is fragmented, with various startups and research institutions contributing to innovation.

Europe Enterprise Quantum Computing Market Regional Image

Key Players and Competitive Insights

The enterprise quantum-computing market is currently characterized by intense competition and rapid technological advancements. Key growth drivers include the increasing demand for high-performance computing solutions and the need for enhanced data security. Major players such as IBM (US), Google (US), and Microsoft (US) are strategically positioned to leverage their extensive research capabilities and established market presence. IBM (US) focuses on innovation through its Quantum System One, while Google (US) emphasizes its leadership in quantum supremacy. Microsoft (US) is investing heavily in its Azure Quantum platform, aiming to integrate quantum computing with cloud services, thereby shaping a competitive environment that prioritizes technological advancement and strategic partnerships.

In terms of business tactics, companies are increasingly localizing manufacturing and optimizing supply chains to enhance operational efficiency. The market structure appears moderately fragmented, with a mix of established players and emerging startups. The collective influence of these key players is significant, as they drive innovation and set industry standards, thereby shaping the competitive landscape.

In October 2025, IBM (US) announced a partnership with a leading European university to develop quantum algorithms aimed at solving complex logistical problems. This collaboration is strategically important as it not only enhances IBM's research capabilities but also strengthens its ties with academic institutions, fostering innovation and talent development in the quantum space.

In September 2025, Google (US) unveiled its latest quantum processor, which reportedly achieves a 20-fold increase in computational speed compared to its predecessor. This advancement is crucial as it positions Google at the forefront of quantum technology, potentially enabling new applications in various sectors, including pharmaceuticals and finance. The implications of this development could redefine competitive dynamics, as faster processing capabilities may attract more enterprise clients.

In August 2025, Microsoft (US) expanded its Azure Quantum platform by integrating new tools for developers, aimed at simplifying the transition to quantum computing. This move is significant as it not only enhances user accessibility but also encourages broader adoption of quantum technologies across industries. By making quantum computing more approachable, Microsoft is likely to capture a larger share of the market, further intensifying competition.

As of November 2025, current competitive trends indicate a strong focus on digitalization, sustainability, and the integration of AI within quantum computing frameworks. Strategic alliances are increasingly shaping the landscape, as companies recognize the value of collaboration in driving innovation. Looking ahead, competitive differentiation is expected to evolve, with a shift from price-based competition to a focus on technological innovation and supply chain reliability. This transition underscores the importance of developing unique capabilities that can meet the complex demands of enterprise clients.

Key Companies in the Europe Enterprise Quantum Computing Market market include

Future Outlook

Europe Enterprise Quantum Computing Market Future Outlook

The Enterprise Quantum Computing Market is projected to grow at 22.83% CAGR from 2024 to 2035, driven by advancements in technology, increased investment, and demand for computational power.

New opportunities lie in:

  • Development of quantum-as-a-service platforms for businesses
  • Integration of quantum computing in supply chain optimization
  • Creation of specialized quantum algorithms for financial modeling

By 2035, the enterprise quantum-computing market is expected to be a pivotal industry, driving innovation and efficiency.

Market Segmentation

Europe Enterprise Quantum Computing Market End User Outlook

  • Automotive
  • BFSI
  • Chemical
  • Medical

Europe Enterprise Quantum Computing Market Component Outlook

  • Software
  • Service
  • Hardware

Europe Enterprise Quantum Computing Market Deployment Outlook

  • On-cloud
  • Premise
  • Hybrid

Europe Enterprise Quantum Computing Market Technology Outlook

  • Quantum Annealing
  • Superconducting
  • Trapped Ion
  • Quantum Dot
  • Others

Report Scope

MARKET SIZE 2024640.0(USD Million)
MARKET SIZE 2025786.11(USD Million)
MARKET SIZE 20356145.1(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR)22.83% (2024 - 2035)
REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR2024
Market Forecast Period2025 - 2035
Historical Data2019 - 2024
Market Forecast UnitsUSD Million
Key Companies Profiled["IBM (US)", "Google (US)", "Microsoft (US)", "D-Wave Systems (CA)", "Rigetti Computing (US)", "IonQ (US)", "Alibaba (CN)", "Honeywell (US)", "Xanadu (CA)"]
Segments CoveredComponent, Deployment, End User, Technology
Key Market OpportunitiesAdvancements in quantum algorithms enhance computational efficiency for enterprise applications in Europe.
Key Market DynamicsRising investments in Research and Development drive innovation in the enterprise quantum-computing market.
Countries CoveredGermany, UK, France, Russia, Italy, Spain, Rest of Europe

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FAQs

What is the expected market size of the Europe Enterprise Quantum Computing Market in 2024?

The Europe Enterprise Quantum Computing Market is expected to be valued at 640.0 USD Million in 2024.

What will be the market size of the Europe Enterprise Quantum Computing Market by 2035?

By 2035, the Europe Enterprise Quantum Computing Market is projected to reach approximately 6145.09 USD Million.

What is the expected compound annual growth rate (CAGR) for the Europe Enterprise Quantum Computing Market from 2025 to 2035?

The market is anticipated to grow at a CAGR of 22.83% during the forecast period from 2025 to 2035.

Which region is expected to dominate the Europe Enterprise Quantum Computing Market in 2024?

Germany is projected to lead the market with an estimated value of 120.0 USD Million in 2024.

What are the expected market values for the different components of the Europe Enterprise Quantum Computing Market in 2024?

In 2024, the values are 256.0 USD Million for software, 192.0 USD Million for service, and 192.0 USD Million for hardware.

What will the market size of software be in the Europe Enterprise Quantum Computing Market by 2035?

The software segment is expected to reach a value of 2660.45 USD Million by 2035.

What is the anticipated market size of the UK within the Europe Enterprise Quantum Computing Market in 2024?

The UK is forecasted to have a market value of 150.0 USD Million in 2024.

Who are the major players in the Europe Enterprise Quantum Computing Market?

Key players in the market include Atos, Microsoft, SAP, Rigetti Computing, and IBM among others.

What will the market size of Russia be in the Europe Enterprise Quantum Computing Market by 2035?

By 2035, the market size for Russia is expected to reach approximately 950.65 USD Million.

What opportunities and challenges does the Europe Enterprise Quantum Computing Market currently face?

Key opportunities stem from rapid technological advancements while challenges include high development costs and limited expertise.

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