Australian government launches $36 million early-stage quantum tech grant

The Australian government has opened a $36 million grant program aimed at the quantum sector. The Critical Technologies Challenge Program (CTCP) is designed to support and accelerate the commercialisation of quantum solutions.

According to the government, the idea is to provide funding to early-stage quantum tech where private capital can be difficult to secure.

The grant is structured in two stages: the first stage offers up to $500,000 in funding for feasibility projects, while the second stage invites successful applicants to apply for an additional $5 million for technology demonstrator projects and proof of concept.

This program builds on previous government investments in the quantum sector since it introduced its quantum strategy ahead of the 2023-24 federal budget.

Since then we have seen $18.4 million set aside for Quantum Australia and $18.5 million for the Australian Centre for Quantum Growth.

Ahead of the 2024-25 budget, a billion-dollar deal was also struck with PsiQuantum as a joint investment between the federal and Queensland governments.

The new CTCP grant program was announced by Minister for Industry and Science Ed Husic at the Innovation Bay Inspire event on Wednesday. It follows $1.7 billion set aside in the 2024-25 budget for the Future Made in Australia Innovation Fund.

The budget papers were vague about specifics, but did state the funding will support “innovation, commercialisation, pilot and demonstration projects and early stage development in priority sectors”.

And this new grant program certainly fits the bill.

“We want to make more things here and quantum computing will give us the technological muscle to do that,” Minister Husic said.

“Australian researchers have been responsible for some of the most important quantum breakthroughs, so we have an edge in this critical technology.

“This investment and the government’s support of quantum is about sharpening that edge and making sure it delivers an economic return for Australia in the shape of new jobs in new industries.”

The Tech Council of Australia (TCA) has also expressed support for the program. Acting CEO Ryan Black highlighted Australia’s global position in the quantum technology sector, noting that the country is home to more than 3% of global quantum startups and attracts 3.6% of global venture capital investment, despite representing only 1.6% of global GDP.

“The Tech Council of Australia, home to the Australian Quantum Alliance (AQA), welcomes the launch of the Critical Technologies Challenges Program to demonstrate the importance of today’s quantum technologies in solving complex national challenges,” Black said.

“Further investment is essential to maintaining Australia’s leadership in the race to commercialising quantum technologies, which could deliver billions of dollars in economic value and thousands of jobs for Australians by 2030, while supporting our strategic and national security objectives.”