JPMorgan and a venture arm of Nvidia are among the investors in Honeywell’s fresh capital raising for its Quantinuum quantum business.
The venture-capital division of Nvidia Corp. has joined a consortium investing in the industrial giant’s quantum computing technology, which might give Honeywell International Inc. more street credit.
With a $135 billion market capitalization and an anticipated $41 billion in total revenue this year, Honeywell (HON) is by no means a slouch. Although Honeywell’s Quantinuum business has a $10 billion pre-money equity valuation according to the company’s most recent capital raise and analysts have yet to see significant revenue contributions, quantum computing is still a relatively minor development for the company, but it exposes it to a hot area of the technology industry.
The fund raise, which was announced Thursday morning, involves several parties, including NVentures, Nvidia’s (NVDA) venture capital arm. Quanta Computer and current shareholders Amgen Inc. (AMGN) and JPMorgan Chase & Co. (JPM) are among the others.
Although he and Nvidia later adopted a more optimistic stance on quantum’s potential, investors in the field may recall that earlier this year, Nvidia Chief Executive Jensen Huang sent quantum stocks down when he discussed how long it would take for the technology to materialize.
According to a press release, Honeywell’s Quantinuum division will collaborate with Nvidia “as a founding collaborator on breakthroughs at the Nvidia Accelerated Quantum Research Center.”
It “continues to meet and exceed our stated objectives – strategically, technically, and commercially,” according to a statement from Chief Executive Vimal Kapur. Quantinuum, in his opinion, will “continue to lead the quantum revolution and create long-term value for its investors and customers.”
Although scaling the technique presents difficulties, quantum computing uses “qubits” to outperform binary computations. Morgan Stanley analysts say that quantum in particular uses trapped ions to create qubits that are easier to manage.
Also see: Cisco claims to have a new chip that can accelerate the usefulness of quantum computing.
With a pre-money equity valuation of $10 billion, Quantinuum is comparable to certain publicly traded quantum computing bets that saw a spike in value last year but saw a decline in stock momentum in 2025. The market capitalization of IonQ Inc. (IONQ) is over $12 billion, that of Rigetti Computing Inc. (RGTI) and D-Wave Quantum Inc. (QBTS) is approximately $5 billion, and that of Quantum Computing Inc. (QUBT) is little more than $2 billion.
The other three stocks have declined year-to-date, whereas D-Wave’s stock has increased 82% so far this year.
As of right now, the investment is having no effect on Honeywell’s stock, which is down slightly in premarket trading on Thursday.
According to a June research by Morgan Stanley analysts, Honeywell has over ten years of experience investing in quantum, with Quantinuum being the outcome of the merger between its Quantum Solutions division and Cambridge Quantum Computing.
With a possible $454 million segment loss on roughly $24 million in revenue, the analysts calculated that the business was still losing a lot more money than it was generating.
Nevertheless, they believed the UK-based company “has the potential to build a de facto standard software for quantum compute that is agnostic to the underlying architecture and hardware used.” In addition to data-center activities, the analysts pointed out that Quantinuum had been concentrating on applying quantum computing for applications such as improving the efficiency of drug research and fostering the development of novel compounds.
