International Business Machines (IBM) is giving quantum computing the same weight as AI. Its venture arm is targeting startups that build software and tools to match IBM’s hardware roadmap, according to Global Venturing.
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So far, IBM Ventures has backed firms such as Qedma, QunaSys, and Strangeworks. In parallel, it is deepening links with universities like the University of Chicago to move discoveries closer to commercial use. This dual focus reflects IBM’s push to build a full ecosystem around both quantum and AI.

IBM Expands with Startup Deals and Academic Links
The company launched a $500 million Enterprise AI Venture Fund in 2024, with investments now spread across more than 20 startups. While AI remains a core theme, quantum has been added as a second pillar. Emily Fontaine, who heads IBM Ventures, told Global Venturing that the firm expects quantum to bring financial impact on par with AI over the next decade.
Momentum in quantum funding has picked up in 2025. Investors are backing a wider range of proof-of-concept projects, while IBM has mapped out plans to build the first fault-tolerant quantum computer by 2029. The roadmap also includes dedicated data centers tied together in a global network.
A key challenge remains the accuracy of quantum processors. To address this, IBM Ventures invested $26 million in Israeli startup Qedma in July. The firm develops error mitigation software based on research at local universities. Other bets include QunaSys, which designs quantum chemistry algorithms, and Strangeworks, a U.S. platform that helps developers use quantum hardware. These moves aim to ensure that clients have access to the software tools needed to unlock IBM systems.
Universities remain central to the strategy. Many founders of IBM-backed startups come from academic labs. IBM also partners with the University of Chicago on a quantum accelerator called Duality and supports the National Quantum Algorithm Center. These efforts help connect research talent with commercial funding and give IBM early access to ideas and intellectual property.
AI Remains a Key Focus
At the same time, enterprise AI remains a key focus. IBM Ventures is investing in startups that build domain-specific tools, automation platforms, and systems that use multiple models. The aim is to give businesses a tailored set of AI solutions rather than a single platform.
Taken together, IBM’s venture strategy shows a long-term plan. By supporting startups in both AI and quantum, IBM aims to align its own technology with a growing ecosystem of partners, clients, and researchers.
Is IBM Stock a Buy, Hold, or Sell?
On the Street, IBM holds a generally positive view from analysts, with a Moderate Buy consensus. The average IBM stock price target stands at $297.33, implying a 23.23% upside from the current price.

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