Will C-DAC Collaboration Help RGTI Unlock India's Quantum Market?

Rigetti Computing’s RGTI deepened its international footprint with a new memorandum of understanding (MOU) with India’s Centre for Development of Advanced Computing (C-DAC). The partnership is likely to focus on co-developing hybrid quantum computing systems that integrate Rigetti’s superconducting quantum processors with classical computing resources. The initiative aligns with India’s ChipIN semiconductor program and underscores Rigetti’s strategy of leveraging government partnerships to expand access to quantum technologies. For Rigetti, the collaboration offers not just technology validation but also entry into one of the fastest-growing global quantum markets.

The C-DAC agreement extends beyond hardware to include joint research in cryogenic electronics, processor fabrication, and quantum education programs, areas that could help diversify Rigetti’s revenue opportunities while broadening its talent pipeline. However, the move comes against the backdrop of ongoing financial pressures, with margins still sensitive to contract mix and heavy R&D spend. The India partnership highlights Rigetti’s pivot toward global alliances as it seeks to translate technology milestones into sustainable, higher-margin opportunities.

Peers Updates

D-Wave Quantum Inc. QBTS continues to advance its position in the quantum computing sector through strategic initiatives and technological innovations. The company has introduced a suite of developer tools designed to enhance quantum artificial intelligence (AI) applications, including an open-source quantum AI toolkit and a machine learning demonstration. Additionally, D-Wave is focusing on improving its hardware capabilities with a strategic development initiative for advanced cryogenic packaging, collaborating with the NASA Jet Propulsion Laboratory to enhance both gate model and annealing quantum processor development.

Quantum Computing Inc. QUBT recently secured a $332,000 purchase order from a top-five U.S. bank for its quantum communication system, marking its first U.S. commercial sale of quantum cybersecurity solutions. This milestone underscores the company's growing presence in the quantum security sector. Additionally, QUBT has been awarded a contract by NASA's Langley Research Center to apply its Dirac-3 quantum computer to develop techniques for removing solar noise from space-based LIDAR data, enhancing daytime atmospheric sensing capabilities. These developments highlight QUBT's expanding role in both commercial and governmental quantum initiatives.

Rigetti’s Price Performance, Valuation and Estimates

Shares of RGTI have gained 1.7% in the year-to-date period compared with the industry’s growth of 19.4%.

From a valuation standpoint, Rigetti trades at a price-to-book ratio of 9.08, above the industry average. RGTI carries a Value Score of F.

The Zacks Consensus Estimate for Rigetti’s 2025 earnings implies a significant 86.1% rise from the year-ago period.

The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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