2/22/2026 | USA | technology | ✓ Verified - techcrunch.com

Quantonation’s double-sized second fund shows quantum still has believers

#Quantonation #Quantum Computing #Venture Capital #Quantum Winter #Technology Investment #Physics-based Startups #Quantum Advantage #Error Correction

📌 Key Takeaways

Quantonation's second fund reached €220 million, more than double its inaugural fund size
Investor confidence in quantum technology remains strong despite no immediate industrial-scale applications
The quantum ecosystem has evolved with both technological breakthroughs and early demand
Quantonation is expanding beyond quantum chips to include adjacent physics-based technologies

📖 Full Retelling

Quantonation Ventures, a venture firm specializing in quantum and physics-based startups, has closed its oversubscribed second fund at €220 million (approximately $260 million) recently, as investor appetite for quantum technologies continues to grow despite quantum computing still not having replaced supercomputers or reached industrial scale. The fund represents more than double the size of Quantonation's inaugural fund, coming amid other signals that the anticipated 'quantum winter' isn't materializing as some had predicted. While concerns existed that excessive hype without tangible results would eventually cause funding to collapse, the opposite has occurred, with both governments and Big Tech companies increasingly joining the quantum race. The quantum technology sector has evolved significantly since Quantonation's launch in 2018, featuring both technological breakthroughs and early demand from academic and industrial laboratories. According to Quantonation partner Will Zeng, this evolution has created 'a shift in the types of investment opportunities that are available' for their second fund, including what he describes as 'picks and shovels' opportunities like Dutch startup Qblox, which develops quantum control hardware and software. The growing quantum ecosystem explains why investors are doubling down on Quantonation and why other dedicated quantum funds such as QDNL and 55 North have emerged, as venture capitalists recognize the specialized knowledge required to navigate this complex investment landscape.

🏷️ Themes

Quantum Investment, Venture Capital, Technology Development

📚 Related People & Topics

Quantum computing

Computer hardware technology that uses quantum mechanics

A quantum computer is a (real or theoretical) computer that exploits superposed and entangled states. Quantum computers can be viewed as sampling from quantum systems. These systems evolve in ways that operate on an enormous number of possibilities simultaneously, though they remain subject to stric...

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Venture capital

Form of private-equity financing

Venture capital (VC) is a form of private equity financing provided by firms or funds to startup, early-stage, and emerging companies, that have been deemed to have high growth potential or that have demonstrated high growth in terms of number of employees, annual revenue, scale of operations, etc. ...

View Profile → Wikipedia ↗

Entity Intersection Graph

Connections for Quantum computing:

🌐 Insider trading 2 shared

🏢 IonQ 2 shared

🌐 SPAC 1 shared

🌐 IQM 1 shared

🌐 SEC filing 1 shared

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Deep Analysis

Why It Matters

The closing of Quantonation’s second fund at €220 million signals sustained investor confidence in quantum technology, despite doubts about near‑term industrial impact. It demonstrates that the perceived "quantum winter" is not imminent and that venture capital is still willing to back early‑stage quantum and supporting companies.

Context & Background

Quantonation Ventures closed a €220 million second fund, double the size of its first
The quantum technology sector has seen recent breakthroughs and growing demand from academia and industry
Investors are shifting toward "picks and shovels" opportunities such as quantum control hardware
Other dedicated quantum funds like QDNL and 55 North have emerged
Major investors including Vertex Holdings, Bpifrance, and the European Investment Fund are backing the new fund

What Happens Next

Quantonation plans to invest in up to 25 startups, focusing on software, industrial layers, photonics, and lasers that support quantum advantage. The firm will continue its international reach, backing companies in Europe, Asia, and North America, while monitoring developments in error correction and DARPA benchmarking. Investors and founders may look to events like the TechCrunch Founder Summit for further collaboration and scaling opportunities.

Frequently Asked Questions

What is Quantonation's investment focus?

It targets early‑stage companies that build software, industrial layers, photonics, and lasers to enable quantum advantage.

How does the second fund differ from the first?

The second fund is twice the size, aims for a larger portfolio of around 25 startups, and expands beyond quantum chips to adjacent physics technologies.

What signals indicate the quantum winter is not coming?

Oversubscribed funding, new dedicated quantum funds, government and corporate interest, and ongoing breakthroughs in error correction all point to continued growth.

Who are the new limited partners in the second fund?

Investors include the European Investment Fund, Grupo ACS, Novo Holdings, Planet First Partners, and Toshiba.

Original Source

              Quantum computing will not be replacing supercomputers in 2026, let alone reaching industrial scale. And yet, investor appetite for companies pursuing the elusive quantum advantage hasn’t dwindled — it has increased. Quantonation Ventures , a venture firm investing in quantum and physics-based startups, has closed its oversubscribed second fund at €220 million , or approximately $260 million. That’s more than twice the size of its inaugural fund, and comes in addition to other signals that the quantum winter isn’t coming yet. While some warned that too much quantum hype and not enough tangible outcomes would eventually cause funding to collapse, the opposite has happened. Take the prediction that quantum will eventually crack modern encryption: that moment has no clear timeline, and yet governments have joined Big Tech in the race. In the years since Quantonation’s launch in 2018, the quantum technology sector has become less incipient, with both technological breakthroughs and early demand from academic and industrial labs. As a result, there has also been “a shift in the types of investment opportunities that are available” to its second fund, Quantonation partner Will Zeng told TechCrunch. One example is what Zeng describes as the “picks and shovels” opportunity, with companies developing technologies that support the quantum industry. He cited the example of Dutch startup Qblox, a long-boostrapped company that was selling quantum control hardware and software to Quantonation portfolio companies before the VC firm co-led its Series A . This growing ecosystem also explains why backers are doubling down on Quantonation, and why other dedicated quantum funds such as QDNL and 55 North have emerged. “VCs recognize that this is not an easy area to invest in at the early stage. The technology is very specific and complex, the markets are often new, and the teams as well,” Zeng said. Techcrunch event Save up to $300 or 30% to TechCrunch Founder Summit 1,000+ founders and...
            

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