Observed Signal · Nov 6, 2026 · Opinion / Analysis · Source: EU-Startups (European Venture) · Impact: 2/5 · Sentiment: Neutral
Europe's quantum startups need more than research funding
According to McKinsey's 2026 Quantum Technology Monitor, global investment in quantum technology startups reached €11.15 billion ($12.6 billion) in 2025, a 6.3-fold increase from the previous year. However, the share from public sources dropped dramatically to 3% from roughly one-third in 2024. The author, Marie Lepske, argues that public funding often goes to research infrastructure, universities, and training, which strengthens the ecosystem but does not directly provide startup capital. She emphasizes that founders must look beyond headline commitments to understand where money is actually directed and what it can fund. While Europe has a strong research base—producing 22% of global quantum publications and 17% of top-cited papers—she stresses that this does not automatically translate into financing for scaling companies. The article concludes that European founders need to plan for private capital, as ecosystem funding and company financing serve different purposes.
Provides insight into quantum startup funding trends, relevant for deep-tech investment but not directly for AdTech/MarTech.
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Key Takeaways & Evidence Grounding
- Global investment in quantum startups reached €11.15 billion ($12.6 billion) in 2025, 6.3x more than 2024.
- Only 3% of 2025 quantum startup funding came from public sources, down from roughly one-third in 2024.
- The EU produces 22% of global quantum-computing publications and 17% of top-cited papers.
- Germany offers 12 master's degrees with 'quantum' in the name, the highest worldwide; the UK has 10.
- McKinsey's 2026 Quantum Technology Monitor is cited for the funding data.
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“The MIT Quantum Index estimates that the EU produces 22% of global quantum-computing publications.”
Related Market Signals & Shifts
Recent verified developments and strategic activity across this market segment.
Quantonation's €220M Fund Signals Quantum Investment Surge
Quantonation Ventures has closed its oversubscribed second fund at €220 million (approx. $260M), more than twice the size of its first fund, signaling continued investor interest in quantum and physics-based startups. The firm, with dual headquarters in Paris and New York, has already invested in 12 startups and aims for a ~25-company portfolio that spans quantum hardware, software, and adjacent physics technologies like photonics and lasers. Returning limited partners include Vertex Holdings and Bpifrance, while new LPs include the European Investment Fund, Grupo ACS, Novo Holdings, Planet First Partners, and Toshiba. Quantonation partner Will Zeng highlighted a maturing ecosystem with more “picks and shovels” opportunities and broader geographic research contributions, even as major players like Nvidia and Google continue to drive market excitement around quantum progress.
European Tech Funding Hits €27.8B in Q3 2026
In Q3 2026, European tech funding reached €27.8 billion across 732 deals, a 32.4% increase from Q3 2025 and more than double the amount in Q3 2024. The quarter was characterized by a concentration of large rounds, with five deals exceeding €1 billion, including Mistral AI (€3B), Nscale (two rounds totaling over €5.5B), Helsing (€1.58B), and Quantum Systems (€1.05B). Nscale raised approximately €6.3 billion across three transactions. Geographically, the UK led with €12 billion, followed by Germany (€4.9B) and France (€4.0B). AI and cloud sectors attracted over €13 billion, nearly half of all capital. Over 2,630 investors participated, with Innovate UK being the most active.
eleQtron CEO: Made in Europe not enough without competitiveness
In an interview with Trending Topics, Jan Henrik Leisse, CEO and co-founder of German quantum computing startup eleQtron, discusses the company's technology, funding, and strategy. eleQtron, a spin-off of the University of Siegen, raised a €57 million Series A led by Schwarz Digits and the EIC Fund. Unlike competitors using lasers, eleQtron controls ions in its quantum computers with microwaves (MAGIC technology) and is building its own chip manufacturing with the Forschungsfabrik Mikroelektronik. Leisse warns against hype, stating quantum computers will not replace classical computers but serve as specialized tools. He emphasizes the urgency of post-quantum cryptography for banks and authorities due to 'harvest now, decrypt later' risks. He acknowledges global competition, notes Europe's strength in ion traps, and stresses that technological competitiveness is the entry ticket, with 'Made in Europe' as an additional factor. The company plans a larger Series B in the future, potentially involving international investors.
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