New York City Mayor Zohran Mamdani said Thursday that the city will receive a 15% share of the intellectual property proceeds from a new quantum facility, adding that New Yorkers should benefit from an industry he expects to be worth trillions.
New York Gets Board Seats and a Cut of the Profits
Mamdani said on X that quantum is “poised to become a multi-trillion dollar industry in the next few years” and that “New Yorkers should share in that profit.”
The city announced Wednesday that it will award New York University (NYU) $29.2 million to build the Quantum Fabrication Facility, known as QFab, in Manhattan.
NYU is contributing $255 million of a $284 million total, and the lab is expected to open in 2030.
The city will receive three seats on QFab’s Executive Advisory Board.
It will also take 15% of NYU Central Administration’s proceeds from intellectual property created at QFab using city-funded tools, including equity, royalties, milestone payments, and patent licenses.
Google Says It Has ‘Opened Up’ a Key Quantum Bottleneck
Alphabet Inc‘s (NASDAQ:GOOGL) (NASDAQ:GOOG) Google Quantum AI said Thursday it had “opened up” a key bottleneck in quantum computing.
Producing the “magic states” needed for advanced computations might consume up to 95% of a quantum computer’s capacity, according to the company.
The team’s technique reduced errors on the Willow chip by 40-fold and produced T-states with a “record logical fidelity of 99.99%,” though it still needs to be demonstrated at a larger scale.
Quantum technology could generate up to $2.7 trillion in economic value by 2035, according to the NYC statement.
Washington Has Been Taking Stakes Too
The Trump administration has made government equity stakes a recurring tool, holding 9.9% of Intel Corp. alongside stakes in companies such as MP Materials Corp. and Lithium Americas Corp.
In May, the Commerce Department committed $2 billion to nine quantum computing companies in exchange for an equity stake.
Price Action: Alphabet’s Class A stock closed 0.45% higher on Thursday at $349.22 and fell 0.35% in extended trading. Its Class C stock rose 0.37% to $344.91 and fell 0.38% in after-hours.
Benzinga Edge rankings indicate Alphabet’s Class A stock has a Momentum score in the 82nd percentile and a Growth score in the 84th percentile.
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