--- title: "$1 Trillion Quantum Leap: 1 Quantum AI Stock Ready to Ride the Wave to 2035" description: "Alphabet is positioning itself at the forefront of quantum AI, leveraging its subsidiary DeepMind and a new processor called Willow. This chip can self-correct errors and has achieved a breakthrough i" type: "news" locale: "en" url: "https://longbridge.com/en/news/262815699.md" published_at: "2025-10-27T04:26:03.000Z" --- # $1 Trillion Quantum Leap: 1 Quantum AI Stock Ready to Ride the Wave to 2035 > Alphabet is positioning itself at the forefront of quantum AI, leveraging its subsidiary DeepMind and a new processor called Willow. This chip can self-correct errors and has achieved a breakthrough in processing speed, potentially outperforming traditional supercomputers. While quantum AI's commercial applications are still limited, Alphabet's Quantum Echoes algorithm demonstrates practical reliability, paving the way for enterprise adoption. Despite its lower forward P/E ratio compared to peers, Alphabet's strategic investments in quantum computing could lead to significant growth in the AI sector, making it an attractive option for investors. For the last two decades, **Alphabet** (GOOG +2.70%) (GOOGL +2.70%) has been on the cutting edge of numerous generational technology shifts. The company made its bones by completely revolutionizing how consumers search for content online when it introduced Google in the late 1990s. Over the last several years, it segued into entertainment via YouTube, electronics through Android, and now has its eyes on technology's grand prize: artificial intelligence (AI). While Wall Street continues to fixate on user stats around the company's large language model (LLM), called Gemini, or how its cloud infrastructure stacks up against **Amazon** Web Services (AWS) and **Microsoft** Azure, smart investors are looking toward the next frontier: quantum computing. Let's explore how Alphabet is quietly building a quantum AI empire and assess what this potential trillion-dollar market means for the company's broader AI ambitions. ## There is loads of value hidden deep within Alphabet Alphabet's largest source of revenue and profits stems from advertising. Between Google and YouTube, the company's platforms attract billions of page views on a monthly basis. This huge digital surface area makes it highly valuable to consumer brands looking to capture online engagement. What most investors may not realize, however, is that over the last two decades, management has deliberately and strategically reinvested its profits into the business. The result is a sprawling ecosystem spanning cloud computing, cybersecurity, custom semiconductors, and autonomous vehicles. One of the lesser-known subsidiaries is DeepMind, an AI research lab that Google uses to explore new machine learning technologies. Beyond its work in generative AI, DeepMind is playing a role in the company's quantum ambitions, too. The result so far is yet another potentially revolutionary breakthrough: a processor called Willow. ## What is Willow and why is it important? Quantum computing differs from classical systems in many ways. Chief among them is that quantum systems rely on qubits (quantum bits) as opposed to binary bits (0's and 1's). Qubits can exist in multiple states at once, a property known as superposition. In theory, this structure provides an edge over traditional computing standards because quantum algorithms can evaluate multiple outcomes of the same scenario at once. While this sounds exciting, developing quantum AI is a monumental undertaking. These systems have so much going on from a processing standpoint that they often become overwhelmed and riddled with errors. Alphabet's approach has been to design a chip that can self-correct errors as workloads scale up. The chip, known as Willow, previously achieved a breakthrough in which it processed a computation that could take today's most advanced supercomputer 10 septillion years to complete. Impressive? I'd say so. But practical? Not really. This brings up an important nuance. Quantum AI promises to upend industries such as energy modeling, financial risk analysis, and drug discovery, but its applications today are quite limited -- essentially nonexistent on commercial scale. This is where Alphabet's latest milestone comes into play. The company's Quantum Echoes algorithm -- running on Willow -- produced a verifiable advantage. In layman's terms, this means that the results from Willow's latest simulation can be repeated and get the same result. This is important because it demonstrates that Google has made Willow more practical -- and potentially reliable -- for problem-solving today, and not just relevant for theoretical applications with no real utility. This could pave the way for legitimate, scalable adoption at the enterprise level. Image source: Getty Images. ## How quantum AI could be Alphabet's next billion-dollar business For now, Alphabet's trajectory in the AI revolution will likely continue to be benchmarked by its progress in fields such as cloud computing and model development. But what I appreciate about the company is that its leadership is thinking well beyond generative models and niche use cases. Quantum computing may not be moving the financial needle for Alphabet today, but the company appears to be on the precipice of becoming a first mover in AI's next frontier. Such a shift could represent a generational inflection point for the company's existing AI infrastructure. GOOGL PE Ratio (Forward) data by YCharts. Nevertheless, investors are discounting the company relative to its cohorts in big tech. Its forward price-to-earnings multiple (P/E) of 25 is materially lower than several peers -- potentially suggesting that the markets are overlooking the company's vast, albeit subtle, achievements. For investors looking for compelling growth and broad exposure to the AI boom, Alphabet represents a unique mix of value and durable economics. ### Related Stocks - [GOOG.US - Alphabet - C](https://longbridge.com/en/quote/GOOG.US.md) - [GOOGL.US - Alphabet](https://longbridge.com/en/quote/GOOGL.US.md) - [GGLS.US - Direxion Daily Googl Bear 1x Shares](https://longbridge.com/en/quote/GGLS.US.md) - [GGLL.US - Direxion Daily GOOGL Bull 2X Shares](https://longbridge.com/en/quote/GGLL.US.md) ## Related News & Research | Title | Description | URL | |-------|-------------|-----| | 每千次展示 60 美元！OpenAI 用高价拉开 “AI 广告” 大幕 | 为应对 AI 巨额开支，OpenAI 正式测试广告，CPM60 美元起步、最低投入 20 万美元，定位高端渠道，直接挑战谷歌万亿美元市场，WPP 等顶级代理已率先合作。但转型风险并存：需平衡用户信任，承诺不用私聊数据；对手 Anthropi | [Link](https://longbridge.com/en/news/275993077.md) | | “SaaS 已死，SaaS 到来”！Altman 预言 “全 AI 企业” 时代开启 | OpenAI CEO 奥尔特曼预言 “全 AI 企业” 将开启，AI 将从辅助工具进化为完全自主的执行者。OpenAI 产品很快将实现 100% 由 AI 编写代码，涵盖开发与决策全流程，标志着传统 “软件即服务（SaaS）” 模式向 “服 | [Link](https://longbridge.com/en/news/275993856.md) | | “AI 交易” 的关键变量：服务业敞口越高，AI 颠覆风险越大，“AI 基建” 最有利 | 大摩量化研究显示，“服务业敞口” 是 AI 投资的关键变量，与收益呈显著负相关。由于市场担忧 AI 颠覆，服务业敞口高达 53% 的 “AI 采用者” 表现垫底。相反，“AI 基础设施” 敞口仅 14%，受颠覆风险最小且受益于资本支出，在六 | [Link](https://longbridge.com/en/news/275977957.md) | | 本轮 AI 大清洗，财富管理平台被错杀了？ | 随着 AI 税务规划工具的推出，财富管理平台股价承压，市场情绪恐慌。美银美林的研报指出，这一抛售是情绪化的错杀，AI 是增强而非替代顾问的工具。高净值客户仍需人类顾问的专业建议，AI 的价值在于提升效率。报告认为，具备高净值客户基础、积极嵌 | [Link](https://longbridge.com/en/news/275890826.md) | | 报道：AI 军事用途存分歧，美国国防部接近与 Anthropic 切断关系 | 报道称，双方关系破裂源于数月来围绕美国军方如何使用 Claude 工具的激烈谈判。Anthropic 特别希望确保其人工智能不会被用于大规模监控公民，或用于开发无需人类参与即可部署的武器。美国政府方面则希望能够将 Claude 用于 “所有 | [Link](https://longbridge.com/en/news/276069534.md) | --- > **Disclaimer**: This article is for reference only and does not constitute any investment advice.