Share declines for companies with an exclusive focus on quantum computing have been significant this year—D-Wave Quantum Inc. (NYSE: QBTS) has dropped a dismal 23% year-to-date (YTD), for instance, while even better-faring rivals like IonQ Inc. (NYSE: IONQ) are still down 5%. A perfect storm of threats from larger rivals (or up-and-coming new names), continued struggles with marketability and profit, and uneven revenue performance have prompted many companies in the space to slump.
This isn't to say that quantum computing as a sector is dead—in fact, enthusiasm for the industry may be as high as ever before, based on influxes of cash from the federal government and renewed attention from major tech firms. The big issue for many investors is timing—quantum computing may still have years to go until it is widespread and lucrative.
