Emerging Irish Tech and R&D Series: Quantum Technology

Quantum technology is an emerging field that leverages the principles of quantum mechanics, the area of physics that deals with the behaviour of particles at the subatomic level, to create novel devices and systems with unprecedented capabilities.

It encompasses a number of areas, including quantum computing, quantum communication, quantum sensing, and quantum metrology. In each of these areas, the effects of quantum mechanics, such as superposition and entanglement, are employed to perform tasks that are either impossible or inefficient using classical means.

Quantum Technologies

Quantum computing is perhaps the most well-known and studied quantum technology, which aims to manipulate the superposition of quantum bits, or qubits, for the simultaneous execution of multiple calculations, leading to exponential speedup over classical computers.

For example, Shor’s algorithm can factor large numbers into their prime factors, a problem that is believed to be intractable for classical computers. This has significant implications for the security of modern communications, which rely heavily on the computational complexity of factoring large numbers and as such, quantum algorithms could, theoretically, break many public key cryptography schemes.

As the emergence of quantum computing threatens the security of the internet, new technologies are being developed to create secure communication channels that are immune to the quantum advantage. The key idea behind quantum communication is to use the properties of entangled particles to encode and transmit information in a manner that is provably secure against eavesdroppers.

One of the most promising applications of quantum communication to date is quantum key distribution (QKD), which uses the laws of quantum mechanics to distribute secret keys between two parties without the need for a trusted third party.

Quantum simulation is also an exciting area of research that seeks to use quantum computers to simulate the behaviour of complex physical systems with the potential to enable breakthroughs in many areas of science and technology, including materials science, chemistry, and condensed matter physics.  This has the potential to deliver the ability to design new materials with specific properties, optimise chemical reactions, and study the behaviour of exotic states of matter.

Quantum sensing and quantum metrology are two distinct but related areas of quantum technology that rely on the sensitivity of quantum systems to measure physical quantities with high precision. Quantum sensing is focused on the development of sensors that can detect and measure physical parameters such as magnetic fields, temperature, and pressure, with applications ranging from medical diagnostics to environmental monitoring.

On the other hand, quantum metrology is focused on the development of high-precision measurement devices that can be used to measure physical quantities such as time, frequency, and length, with applications in scientific research and engineering.

The Irish Landscape

Ireland’s strong research infrastructure and highly skilled workforce provide an excellent foundation for the development of quantum technology, which has the potential to revolutionise many industries, from healthcare to finance to telecommunications and could help to solidify Ireland’s future as a leader in innovation and technology. Despite the significant progress that has been made in recent years, there are still many challenges that must be overcome before quantum technologies can be widely adopted.

There is a growing appetite for quantum technologies across many Irish research centres supported by national and European funding, as illustrated by the recent emergence of Irish academia spin-offs and Irish-led quantum computing companies. Furthermore, with organisations like Microsoft, Google, IBM and Intel already established in Ireland and involved in various research and development projects, the country is primed for academic and industrial quantum synergism.

R&D Tax Credits

Ireland’s continued support for innovation and technological advancement is spearheaded by our R&D Tax Incentives programme, where companies engaged in research and development may be eligible for R&D tax credits to offset a portion of the costs associated with their activities, such as salaries, equipment, and materials.

These tax credits can help reduce the financial risks associated with R&D and encourage companies to invest in innovative technologies that have immediate commercial applications. However, it is important to note that not all quantum activities may qualify for these tax credits, and thus, a thorough assessment of eligibility is crucial. Professional advice, with respect to this sometimes-complex relief, should be sought before any claim is made.

Ireland’s Quantum Potential

Continued research into quantum technologies holds enormous potential for society to harness the unique properties of quantum mechanics to transform industries and solve some of the world’s most pressing challenges. Ireland is poised to support the emergence of quantum technology and the R&D Tax Credits provide a valuable opportunity for companies to invest in disruptive technology, provided that their activity meets the criteria outlined in R&D Tax Credit legislation.

Emerging Irish Tech and R&D Series

This is the first article in KPMG’s 4-part series on emerging technologies in Ireland and their potential application for research and development. The next article will focus on Software as a Medical Device.

For more insights or if you have an R&D-related query, visit KPMG’s R&D Incentives practice.

Guest post by Gianmario Pala – Director, R&D Tax Incentives Practice at KPMG.