PsiQuantum has received a conditional commitment for a loan of up to $150 million from the U.S. Department of War to expand its domestic quantum computing manufacturing and prototyping capabilities, adding to federal support for the company’s efforts to develop utility-scale, fault-tolerant quantum computers.
The proposed financing comes from the department’s Office of Strategic Capital (OSC) and would support PsiQuantum’s 140,000-square-foot facility in Milpitas, California. The site is intended to scale advanced technologies and develop and validate prototype systems underpinning the company’s quantum computing architecture.
The commitment remains conditional. PsiQuantum must satisfy applicable financial, legal, technical and regulatory requirements before a final loan agreement can be executed.
Funding Targets Manufacturing and Testing Infrastructure
The potential loan would help fund equipment and infrastructure required to build, integrate and test quantum computing systems. Planned investments include equipment for fabricating and validating components, subassemblies and system-level assemblies, as well as infrastructure for system integration and advanced cryogenic systems used in prototype development.
Quantum computers use quantum-mechanical properties to process information in ways that differ from conventional computing systems. However, building large-scale systems requires complex engineering, specialized manufacturing and extensive testing. PsiQuantum is pursuing a fault-tolerant architecture designed to support reliable computation at scale.
The company said the financing, combined with its own investment and a U.S.-anchored supply chain, would strengthen domestic capabilities in design, testing and system integration.
“Today’s announcement shows the U.S. government’s bold leadership and continued commitment to quantum computing as a critical technology for America’s economic prosperity and national security,” said Victor Peng, CEO of PsiQuantum.
Peng said advanced manufacturing and engineering infrastructure would be necessary to realize the technology’s potential in the United States.
Federal Support Expands Across Programs
The proposed loan follows several other federal initiatives involving PsiQuantum.
In July 2026, the company announced an expanded $125 million agreement with the Defense Advanced Research Projects Agency (DARPA) under its Quantum Benchmarking Initiative. PsiQuantum has participated in the program since 2022, as the agency evaluates commercial approaches to utility-scale quantum computing.
In September 2026, PsiQuantum also finalized documentation with the U.S. Department of Commerce for $100 million in federal incentives under the CHIPS and Science Act. The support is intended to advance domestic quantum computing and semiconductor capabilities.
The company has also worked with the Air Force Research Laboratory since 2022 on semiconductor manufacturing and silicon photonics expertise for the U.S. Air Force.
Together, these programs reflect growing government interest in developing domestic capabilities for quantum computing and related semiconductor technologies. The proposed OSC financing would add support specifically for manufacturing equipment, prototyping and system validation.
Global Infrastructure Development Continues
PsiQuantum is also expanding its physical infrastructure outside the United States. In June 2026, the company broke ground on a facility at Moreton Bay Central in Queensland, Australia, intended to support its plans for a utility-scale quantum computer.
In September 2025, it began construction at the Illinois Quantum and Microelectronics Park in Chicago.
