Podcast with Zach Yerushalmi, CEO of Elevate Quantum and leader of the U.S. Quantum Tech Hub
Accelerating Quantum Commercialization: A Conversation with Zach Yerushalmi
As the world grapples with the complexities of emerging technologies, the quantum revolution is poised to transform industries and economies. At the forefront of this revolution is Zach Yerushalmi, CEO of Elevate Quantum and leader of the U.S. Quantum Tech Hub. In a recent conversation with Yuval Boger, Yerushalmi shared his insights on how to accelerate quantum commercialization through industry-led ecosystems, targeted public-private partnerships, and clear prioritization across research, industry, and market failures.
The Importance of Industry-Led Ecosystems
Yerushalmi emphasized the critical role of industry-led ecosystems in driving quantum commercialization. "Industry is front and center because it provides capital efficiency and the ability to scale," he explained. "Examples include Northern Europe with ASML, Korea, Taiwan, and China, all of which have industry champions." He noted that these ecosystems have a research ecosystem that quietly powers the next evolution of the technology, and focus on public-private partnerships that address very specific market failures.
The Semiconductor Analogy
Yerushalmi drew parallels between the semiconductor industry and the quantum revolution. "With semiconductors, transistors were already useful; they went into rockets and delivered real capabilities," he said. "With quantum computers, we are not there yet." He noted that the biotech industry does this routinely, acquiring companies for billions of dollars a decade before a drug is licensed, scaled, and used clinically. "The model already exists; we just need to reinforce it for quantum," he said.
Government Evaluation of Quantum Proposals
Yerushalmi shared his observations on how governments evaluate quantum proposals. "Grant development is similar to product development," he said. "You must be acutely aware of what the customer wants." He noted that understanding the needs of diverse stakeholders is essential, and that ruthless prioritization is critical when evaluating proposals.
Distributing Money and Deciding Which Projects to Fund
Yerushalmi explained that Elevate Quantum followed a process similar to product development when distributing money and deciding which projects to fund. "We identified what was needed, how much it would cost, and how that mapped to ecosystem needs," he said. He noted that there were difficult conversations, but that focusing on technology services was a key strategy.
Success Metrics
Yerushalmi emphasized the importance of cycle time as a key success metric. "Cycle time is an early indicator of whether you are heading in the right direction," he said. He noted that addressing true market failures and doing so with leading cycle time is a key indicator of success.
Importing Best Practices from Other Countries
Yerushalmi expressed interest in importing best practices from other countries, particularly the hunger of the Israeli ecosystem and thoughtful public-private partnerships addressing market failures. He noted that every leading ecosystem that manufactures technology has a high-mix, low-volume fab adjacent to an industry giant.
Comparing Elevate Quantum with Other Hubs
Yerushalmi compared Elevate Quantum with other hubs in the U.S., noting that Colorado, New York, and Silicon Valley are close behind in terms of people and fundraising. He emphasized that the Mountain West and ecosystems on the coast operate at least 20 to 50 times the scale in terms of people than other ecosystems in the U.S.
The Importance of Demand Signals
Yerushalmi emphasized the importance of demand signals in driving quantum commercialization. "Demand signals are critical," he said. "I want to give a particular shout-out to the QuEra team, and to Nate, Misha, and our other industry partners in particular." He noted that thoughtful discussion about which demand signals should be company-specific and which should be shared is essential.
Conclusion
In conclusion, Zach Yerushalmi's insights on accelerating quantum commercialization offer a roadmap for industry leaders, policymakers, and researchers. By focusing on industry-led ecosystems, targeted public-private partnerships, and clear prioritization across research, industry, and market failures, we can unlock the full potential of the quantum revolution. As Yerushalmi noted, "The stakes are extremely high, and we need to get industrial strategy and the organizations that implement it right."
