Rigetti has secured up to $100 million from the U.S. Department of Commerce to advance superconducting quantum computing research. The award comes through the CHIPS Research and Development Office under the CHIPS and Science Act.
However, Commerce will receive company shares under the agreement. In addition, funding will also depend on progress across three technical projects, linking federal support to specific development goals.
Rigetti Secures Up to $100M in CHIPS Funding
On the 8th of September 2026, Commerce finalized the award after an earlier letter of intent. The agreement targets technical challenges involved in scaling superconducting quantum computers.
Specifically, the program covers readout electronics, cryostat architectures and fabrication capabilities for high-connectivity chip architectures. The performance period will last five years unless the agreement ends earlier.
The Deal Gives Commerce an Equity Stake
Under the agreement, Commerce will receive a minority, non-controlling equity stake. Rigetti will issue 7,739,938 common shares at an implied price of $12.92 each. Consequently, the government gains an ownership position while the company receives funding for eligible project costs. The new shares will also increase the company’s outstanding share count.
Moreover, the equity arrangement follows a broader CHIPS effort supporting quantum technology research. Commerce previously announced planned incentives for several quantum companies under the program.
Furthermore, the department has said equity stakes can enhance returns for U.S. taxpayers. Therefore, the structure combines research funding with potential financial participation.
Three Projects Target Quantum Computing Scale
First, Rigetti will develop integrated, miniaturized readout electronics. Next, Rigetti will expand cryogenic capacity through a new cryostat architecture. Finally, Rigetti will develop fabrication capabilities for high-connectivity chip architectures.
Notably, the projects address different engineering constraints that become harder as quantum systems grow. Better electronics can support system integration, while expanded cryogenic capacity can accommodate larger processor designs.
Additionally, improved fabrication can also support architectures requiring greater connectivity. Rigetti CEO Subodh Kulkarni said “Solving scaling challenges could accelerate the path toward commercially viable quantum computing”. He also linked lower costs and faster development with broader adoption.
Milestones Will Drive the Funding Rollout
The agreement provides an initial $43.9 million payment. Two later payments total $56.1 million, comprising $29.9 million and $26.2 million. However, Rigetti must meet specified milestones before receiving those later payments.
Also, the securities agreement limits Commerce’s voting rights over its shares. Furthermore, the department faces restrictions on transferring shares beyond amounts linked to disbursed funding. If Commerce terminates the agreement, Rigetti can repurchase shares tied to undistributed award amounts for $1.
Ultimately, the next phase will focus on completing the three projects and meeting their milestones. Rigetti must also manage the effects of issuing new shares as development continues. The company’s progress will determine how much of the $100 million award it ultimately receives.
