IBM (IBM) stock and shares of several quantum computing firms jumped after the U.S. Commerce Department announced $2 billion in grants to advance the technology.
The deals with nine total companies reportedly include equity stakes.
IBM will receive $1 billion as part of the funding, which comes from the 2022 Chips and Science Act. The incentives will support research and development for a new company called Anderon, which IBM called "America's first pure play quantum foundry."
Other quantum companies set to receive $100 million funding include D-Wave Quantum (QBTS), Rigetti Computing (RGTI) and Infleqtion (INFQ), according to the Wall Street Journal. Chipmaker Global Foundries (GFS) will receive $375 million.
The government will receive a minority equity stake in each company as part of the deals, according to the report.
"These strategic quantum technology investments will build on our domestic industry, creating thousands of high-paying American jobs while advancing American quantum capabilities," Commerce Secretary Howard Lutnick said in a news release, published by IBM.
