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Julich Research Center Inaugurates Europe's First 5,000+ Qubit Quantum Computer
An employee of Forschungszentrum Jülich stands next to the D-Wave Systems Advantage quantum computer (Lukas Schulze/Getty Images)
AI QUANTUM BLOCKCHAIN

The surprising pit stop on the road to AI quantum computing integration

Blockchain is the “first step” here, according to D-Wave Quantum CEO Dr. Alan Baratz.

Luke Kawa

D-Wave Quantum’s recent claim of “quantum supremacy” in identifying optimal sensors was noteworthy beyond the flashy headline and scientific results. Per the company, it would’ve required more than the world’s annual electricity consumption for a supercomputer to have solved the problem (oh, and nearly 1 million years).

When I do a 30,000-foot scan of the tech space, I see artificial intelligence (which requires so much compute and energy) and quantum computing (which is seemingly offering lots of compute with less energy required). It just makes you want to set them up on a blind date and look forward to attending their wedding a year later.

D-Wave Quantum CEO Dr. Alan Baratz is certainly excited by the prospect of getting more involved in AI. The company’s recent spike in bookings was fueled by the order of a quantum computer that’s going to be hooked up to a supercomputer in Germany “to explore new workflows in a few different areas, but especially AI,” Baratz said.

He added something that made our eyebrows go up, though, by saying that recent experiments between quantum computing and blockchain technology are a key pit stop on the path to greater integration of quantum computing and AI.

When we asked him why these seeming soulmates hadn’t already gotten hitched, he told us:

“Theres a first step along the way: blockchain. We also posted a paper on the archive last week where we showed how you could take the computation we did to demonstrate supremacy and use it to create a hashing function. Everybody knows that blockchain and cryptocurrency are based on hashing functions. And then we showed how you could use this quantum hashing function to actually build a blockchain...

Now, whats so important about quantum proof of work is a) its kind of by construction quantum-safe. But b) its much more energy efficient. This will consume far less energy to do the hashing and the mining than what happens today, for example, with bitcoin, which is a massive energy consumer. 

So were very excited about this because if magnetic materials arent approachable enough, blockchain and cryptocurrency should be, and the fact that were now talking about and demonstrating a quantum blockchain based on our quantum computers — thats pretty exciting. And thats the first step toward low energy computation.

Now we are also working on how to apply these technologies in AI and machine learning. And we started working on how to integrate our quantum systems with GPUs to do more energy efficient model training. Weve got some good early results, but on small datasets. Were just now starting to work on larger datasets and were going to move that forward, and especially once we get the Julich system integrated with the GPU system there, we should be able to push that ball even further.”


It’s true that one thing mining bitcoin and AI data centers have in common is that they require a boatload of energy, and if quantum can solve for the notoriously energy-sucking mining process, it’s not impossible to imagine it might do the same for AI training and inference, though they are different problems to solve.

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Energy stocks tumble after massive March

Energy and chemical stocks tumbled early Wednesday, on growing expectations that the US participation in the Iran war is nearing an end and WTI crude oil futures slipped back below $100 a barrel.

LyondellBasell, APA Corporation, Dow, Inc., CF Industries, and Marathon Petroleum — the S&P 500’s top five gainers last month — all sank.

Natural gas drillers EOG Resources, Devon Energy, Coterra Energy, and Diamondback Energy dropped, as did integrated oil giants Exxon and Chevron . Fuel refiners and marketers such as Phillips 66 and Valero also fell.

Don’t shed too many tears for these energy giants. The S&P 500 energy sector rose 10% in March and 37% in Q1 2026.

The Energy Select Sector SPDR Fund is coming off its second-best quarter on record relative to the SPDR S&P 500 ETF, based on data going back to 1999.

Nio, Li Auto rise as Q1 delivery totals beat internal guidance

China’s EV startup trio — Nio, Li Auto, and XPeng — are all climbing on Wednesday, following the release of March and first-quarter delivery totals.

Nio delivered 83,465 vehicles in the three months that ended in March, up 99% from the same quarter a year ago and slightly beating the upper end of its guidance. Li Auto delivered 95,142 vehicles in the period, up 2.5% and ahead of its guidance range. The figure was bolstered by 12% growth in March deliveries.

XPeng, on the other hand, saw Q1 deliveries drop 33% year over year to 62,682 vehicles — the company’s first quarterly drop since 2023. Shares are still up as of 10 a.m. ET on Wednesday, as the automaker’s March deliveries were up 80% from February’s total.

BYD is down more than 2% on Wednesday, as the automaker posted its seventh consecutive month of sales declines. First-quarter sales fell 30% year over year, Reuters reported.

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Data center trade reboots amid Iran relief rally

Memory, networking, chipmaking machinery, semiconductor, and rack-building stocks were all up early Wednesday, in a broad-based reboot of the data center trade on growing optimism about America’s potential exit from the Iran war.

Companies that make all the core components of data center were on the move early. Memory plays Micron, Sandisk, Western Digital, and Seagate Technology Holdings all opened near the top of the S&P 500’s leaders, as they shook off last week’s jitters related to a Google Research announcement about an AI algorithm that might cut demand for memory.

Fiber-optic and networking shares like Ciena Corp., Arista Networks, Corning, Coherent, Amphenol, and Lumentum — popular recent data center plays — also rose. OG data center trades like chip companies Nvidia, Intel, and Advanced Micro Devices gained. And the companies that make the machines that make the chips, like Lam Research and KLA Corp, are also catching a bid.

Even the more hard-hat elements of the AI boom were up, with Comfort Systems USA, Eaton Corp, Carrier, and Quanta Services rising. Server rack builders Dell and HP Enterprise also increased.

Clearly, there’s a big element of relief rally at play in the early bounce, building on Monday’s advance, which saw the S&P 500 post its biggest one-day gain since May.

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Intel soars after buying back stake in Irish manufacturing facility

Intel is spending $14.2 billion to take back full ownership of a manufacturing facility in Ireland, the company announced on Wednesday.

“The agreement reflects Intel’s continued business momentum underpinned by the growing and essential role CPUs play in the era of AI,” according to the company’s press release.

Shares are soaring, up around 6% in early trading.

Investors appear to be viewing this measure as a concrete sign that Intel’s turnaround plan is entering a new phase — growth mode, powered by AI — after years of sluggish sales forced a focus on cost controls.

The chipmaker had previously sold a 49% stake in this fab for $11.2 billion to Apollo Global Management in order to raise cash for other investment opportunities, including its 18A manufacturing process in the US.

Intel intends to fund the transaction through available cash and an additional $6.5 billion in debt.

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