Europe’s quantum research is a beacon of hope, boasting some of the world’s most reputable laboratories. However, the journey from basic science to industrial power is a challenging one, especially when compared to the robust investments of the United States and China. The European Quantum Technologies Flagship, with its €1 billion budget over ten years, is a testament to Europe’s commitment to scientific excellence. As the EU releases a new quantum policy in 2030, the key question is whether Europe can leverage its scholarly edge to achieve business prosperity and strategic self-reliance.
Background of the funding landscape
The Quantum Technologies Flagship is a decade-long, EU-wide initiative that serves as the cornerstone of Europe’s quantum ambitions, with a €1 billion budget when it was launched in 2018. The Flagship initially funded 24 projects in quantum computing, quantum communications, sensing, simulation, and basic science during its first ramp-up phase (2018-2022). According to the European Commission, over 1,600 scientists collaborated on these projects, resulting in more than 1,300 research papers and numerous patents.
However, the story doesn’t end at the EU-level funding. Member states are also contributing, albeit in a fragmented manner, often through national research grants or matching programs. The newly announced Quantum Europe Strategy is a crucial step towards unifying these efforts with clearer targets for scaling, industrialisation, and job creation through 2030. The urgency of this coordination cannot be overstated.
Across the Atlantic, U.S
The United States integrates public research and development, national laboratories, and significant private investment into an integrated quantum ecosystem. The National Quantum Initiative (NQI) continues taking centre stage. According to the 2025 NQI annual report, the U.S. plans to provide more support for quantum software, algorithms, and control systems.
The U.S. Department of Energy promised in November 2025 to renew five Quantum Information Science (QIS) research centres for the next five years, covering a funding commitment of $ 625,000,000. The DOE also provided 38 projects with a total of 65million dollars to develop quantum computing programmes and scalable controls.
This model is successful in that the U.S. uses funding as a prerequisite to procurement and national labs. The centres serve as demonstrators that can produce basic research into working prototypes, and federal funding can provide companies and researchers with a steady source of finances.
The Strategic Intents of China
The quantum strategy of China is less transparent, and, according to analysts, the state-established quantum programs are mission-based and large. According to think-tank reports, Beijing couples are heavy investors in research, but with deployment targets and scales supported by robust infrastructure.
Although there are hardly accurate figures for quantum-only funding, state-driven efforts in digital infrastructure, to which quantum-relevant computing falls, are on the rise. Massive data centres and regional centres are more favourable to the use of quantum technology on a large scale than in a single laboratory.
The two hubs in Europe, Delft (QuTech) and Oxford
QuTech, Delft
QuTech is an initiative of TU Delft and TNO, serving as a hub for European quantum research. It leads in quantum computing and quantum internet initiatives, and is a Flagship-funded corporation that has had several spin-offs.
Nevertheless, QuTech is primarily a research and prototyping engine. It is ideal for preliminary research and demonstrations, but lacks the industrial base to be utilised in large-scale quantum manufacturing. There is an insufficiently large and indigenous quantum foundry, or hard sourcing access point, in Europe. A quantum foundry is a facility that can fabricate and test quantum devices at scale, enabling the translation of quantum computing findings into hardware at a large scale and then competing globally.
Oxford Quantum Hub (UK)
Recently, the UK inaugurated a local quantum centre, which is located in Oxford. The hub bridges the gap between research and systems engineering, particularly in the application of quantum computing systems in the field. Oxford has the strength of providing a balance between academic excellence and industry requirements, as well as developing spin-outs with an engineering orientation.
However, despite these advantages, the UK hub still has a weak follow-on scale. In Europe, quantum venture capital remains risk-averse, whereas U.S. counterparts are not hesitant to fund start-ups that go beyond demonstrating concepts.
The Translation Gap- Why Research Is Not Enough?
The depth of scientific knowledge in Europe is undeniable. Its laboratories are on the cutting edge, and scientists can achieve excellent work. However, the question is how to convert that into economic and strategic power, and in that aspect, Europe is reluctant to go overboard.
- Fractured funding: EU is consistent, but national programs between the nations are asynchronous. The long-term scaling is complicated because of this.
- Low procurement by population: In contrast to the U.S., Europe lacks extensive mission-related procurement that ensures quantum companies in the defence, quantum networks, and secure communications have an early market opportunity.
- Venture capital ecosystem: Smaller ecosystem. Europe lacks the deep science at the level of late-stage quantum funding. Equipping large-scale hardware is not easily followed up with capital by European start-ups.
- Testbeds and deployment: Quantum hardware cannot be easily tested in testbeds and lacks many pan-European testbeds or pilot production facilities where it can be manufactured and tested in large quantities.
Prescriptions of the Policy- What Europe Must Do.
Europe needs to do more than research money to bridge the commercialisation gap. Here’s a five‑point playbook:
- Concentrate resources in limited and larger testbeds: Scattered grants should be eliminated in favour of establishing pan-European pilot quantum manufacturing and user centres.
- Get ahead of the de-risking curve: Protect early-stage companies by leveraging quantum services, including secure communications and sensors.
- Establish ‘scale-up funds of quantum deep tech’: Combine public and private capital to support quantum hardware, not just science, as seen in the energy or space sectors. These funds would provide financial support to quantum hardware startups and companies, helping them scale their operations and bring their products to market. This approach would not only encourage innovation but also attract more venture capital to the European quantum ecosystem.
- Infrastructure investments in talent: Invest in industry-linked PhD programmes, quantum apprenticeships, and fast-track visas for quantum engineers.
- Encourage pan-European innovation centres: Leverage the existing nodes (E.g., QuTech, Oxford) by enhancing their infrastructure (ranging from computing to labs and industry).
So, Can Europe Win the Quantum Race?
Europe’s quantum ecosystem is not starting from scratch; it boasts scientific strength, institutional coherence, and established hubs with recognised brand names. But scale is the bottleneck. Without a serious, coordinated push to commercialise and without attracting follow-on capital, European quantum innovation risks being confined to academic excellence, rather than global tech leadership.
The Quantum Europe Strategy 2030 offers a renewed vision. However, to deliver on that promise, the EU and its member states must strengthen their engagement in industrial policy, procurement, and capital markets. Only then can European hubs, such as QuTech and Oxford, transition from lab prototypes to sovereign quantum infrastructure.
