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    New Perspectives on Rigetti Computing’s Q3 2023 Earnings

    ByThemba Hadebe

    Nov 16, 2023
    New Perspectives on Rigetti Computing’s Q3 2023 Earnings

    Rigetti Computing, Inc. recently released its financial results for the third quarter of 2023, and while the company missed earnings expectations, there were several notable achievements and advances in the quantum computing space.

    Expansion of QPU Customer Base
    One highlight of the quarter was Rigetti’s continued growth in QPU system sales. The company successfully delivered a 9-qubit quantum processing unit (QPU) to a premier National Laboratory, expanding its customer base. This follows a previous QPU sale to Fermilab in partnership with the superconducting quantum materials and systems center. Additionally, Rigetti secured a five-year contract with the Air Force Research Lab to provide Quantum Foundry Services, further establishing its position in the quantum computing market.

    Advancing Quantum Algorithms and Combinatorial Optimization
    Rigetti was recently awarded a DARPA IMPAQT contract, which aims to advance quantum algorithms for solving combinatorial optimization problems. The project specifically focuses on addressing scheduling problems, which are prevalent across industries and notoriously difficult to solve. The goal is to develop an efficient encoding of optimization problems onto qubits to enable larger problem sizes to be mapped to current quantum computers.

    Collaboration for Quantum Machine Learning
    In collaboration with HSBC, the quantum software lab at the University of Edinburgh, and the National Quantum Computing Center, Rigetti is working to enhance money laundering techniques using quantum machine learning. By employing state-of-the-art machine learning algorithms, the consortium aims to improve the performance of existing techniques and bolster money laundering prevention efforts.

    Improving System Performance and Fidelity
    Rigetti is dedicated to enhancing the system performance of its fourth-generation chip architecture. This architecture, featuring a square lattice and tunable couplers, is designed to support the Ankaa-2 84 qubit system, which is expected to be available to external customers in the fourth quarter of 2023. The company has made significant progress in achieving high fidelity with its qubit systems, surpassing 98% median 2-qubit fidelity with its 9-qubit and 24-qubit systems. Rigetti’s aim is to reach 98% median 2-qubit fidelity with the Ankaa-2 84-qubit system and over 99% median 2-qubit fidelity in 2024.

    Financial Performance
    While Rigetti’s revenues for the third quarter of 2023 reached $3.1 million, reflecting growth compared to the same period in 2022, it’s important to note that revenue variability is expected at this stage of the company’s evolution due to the nature of contract deliverables and timing. The company achieved a gross margin of 73% for the quarter, and total operating expenses decreased primarily due to reductions in stock compensation and employee wages and benefits.

    In summary, Rigetti Computing, Inc. is making significant strides in the quantum computing industry. Through expanding its customer base, advancing quantum algorithms, collaborating for quantum machine learning, and improving system performance, Rigetti is positioning itself as a key player in the field. While the company faces financial variability, its focus on technological advancements and partnerships with leading organizations and institutions demonstrates its commitment to driving quantum computing forward.


    Q: What is QPU?
    A: QPU stands for Quantum Processing Unit. It is a fundamental component of a quantum computer and is specifically designed to perform quantum computations.

    Q: What are combinatorial optimization problems?
    A: Combinatorial optimization problems involve finding the best possible solution from a finite set of possible solutions. These types of problems arise in various industries and often require significant computational power to solve efficiently.

    Q: What is fidelity in quantum computing?
    A: Fidelity in quantum computing refers to the accuracy and reliability of quantum operations performed by a system. It is a measure of how well a quantum system preserves the information it stores and manipulates.

    – Rigetti Computing, Inc. Q3 2023 Earnings Call Transcript: