D-Wave Quantum Inc. (NYSE:QBTS) Q2 2023 Earnings Call Transcript

Quinn Bolton: Got it. Last question for me, maybe a little bit out there. But there’s been a lot in the press over the past few weeks about this LK-99 material, which may or now may not be superconducting at or near room temperature. If that material does actually prove to be a breakthrough in room temp superconductors, would there be any benefit to your manufacturing technology? I mean, could that ultimately benefit your superconducting qubit manufacturing process?

Alan Baratz: Sure. I mean, if we’re able to build superconducting quantum computers that run at room temperature the size shrinks, the placement of the systems becomes much more flexible. So we can put them in environments that we couldn’t put them in today. So there certainly are benefits to room temperature superconducting. And we keep an eye on all these technologies. Typically though, the timeframe to go from a demonstration of room temperature superconducting to production capable materials can be quite long. But we’re constantly keeping an eye on this. The only other thing I would say is that, there’d also be a benefit in terms of the cost of the systems because the largest single component – the largest cost component of our quantum computer is the refrigerator, believe it or not.

So we’d also be able to produce these systems at lower costs, although, they’re pretty cost effective today. I think we’ve talked in the past that it takes us – it costs us about $1.5 million or so to build a quantum computer today. And each one can support $25 million to $30 million in revenue. So there would be some benefits to room temperature. And we’re constantly keeping an eye on it, but not totally transformative.

Quinn Bolton: Got it. Okay. Thank you, Alan.

Operator: [Operator Instructions] And at this time, there are no further questions. I would like to turn the call back over to Alan for closing remarks.

Alan Baratz: Okay. So once again, thank you all. As you’ve heard in today’s call, our business results reflect the growing adoption of our annealing quantum computing solutions by companies seeking methods for solving their most complex computational problems. Our growth in bookings and the expansion of our average deal sizes demonstrate increasing demand for our near-term quantum technologies and showcase D-Wave’s continued commercial momentum. Thanks again for taking the time to join us. And we’ll look forward to speaking with you all in about three months.

Operator: This concludes today’s conference call. Thank you for attending.