Former hedge fund manager Martin Shkreli cast doubt on recent quantum computing advances and stock valuations, particularly targeting IonQ Inc. (NYSE:IONQ) and Rigetti Computing Inc. (NASDAQ:RGTI) in a series of posts on X on Wednesday.
What Happened: “IONQ and RGTI are both worth low single digits vs. their $33 and $10 prices today. quantum computing is not commercially viable in any serious way,” Shkreli wrote, suggesting Microsoft Corp.’s (NASDAQ:MSFT) recent quantum announcement could negatively impact both companies’ market positions.
His comments come as Microsoft unveiled its Majorana 1 quantum chip, featuring a new Topological Core architecture that the company claims could eventually scale to one million qubits. The chip utilizes topoconductor technology, enabling more reliable and scalable quantum bits through controlled Majorana particles.
Shkreli claimed there was an intense effort to prevent Microsoft’s quantum paper from being published, cautioning that the term “breakthrough” should be used with caution.
There was a fairly vicious battle to disqualify the Microsoft quantum paper from publication. The word ‘breakthrough’ should be used very carefully. pic.twitter.com/pDHiRcsh4w
— Martin Shkreli (@MartinShkreli) February 20, 2025
Despite Shkreli’s bearish outlook, both quantum computing stocks have seen remarkable gains. IONQ shares have surged 221% over the past year, while RGTI stock has soared more than 572%. However, Shkreli previously pointed to operational challenges, sharing an Amazon Web Services Braket dashboard showing multiple quantum processing units offline from both companies.
just a reminder that $IONQ and $RGTI are both worth low single digits vs. their $33 and $10 prices today. quantum computing is great but it’s not commercially viable in any serious way.
— Martin Shkreli (@MartinShkreli) February 19, 2025
Why It Matters: The debate over quantum computing’s commercial viability extends beyond Shkreli’s criticism. Nvidia Corp. (NASDAQ:NVDA) CEO Jensen Huang has suggested practical quantum applications may be 15 to 20 years away, while Google, a subsidiary of Alphabet Inc. (NASDAQ:GOOGL) (NASDAQ:GOOG), maintains a more optimistic five-year timeline with its Willow quantum chip.
Microsoft’s entry into the quantum computing race has earned backing from the Defense Advanced Research Projects Agency (DARPA). The company has also partnered with Quantinuum and Atom Computing, integrating these quantum capabilities into its Azure cloud platform.
Shkreli, who gained notoriety as “Pharma Bro” and was convicted of securities fraud in 2017, remains banned from the pharmaceutical industry but has recently emerged as a vocal critic in the quantum computing sector.