IonQ to Acquire Cybersecurity Firm Elisity in $1.3 Billion All-Stock Deal

Quantum computing company IonQ said on Monday it would buy cybersecurity firm Elisity in an all-stock deal valued at up to $1.3 billion, as it looks to expand its quantum security business.

IonQ said the acquisition would give it expanded channels to bring its quantum offerings to enterprise and government customers, helping them deal with current threats and prepare for attacks from future quantum computers.

Elisity, founded in 2019, has more than 100 customer deployments worldwide and has doubled its revenue and customer base year-over-year, according to IonQ. The deal value includes up to $150 million in earn-outs tied to Elisity’s performance, and the number of IonQ shares to be issued will be calculated at a price between $33.07 and $49.61 per share.

“Q-Day is coming much faster than predicted,” IonQ CEO Niccolo de Masi said, referring to the point when quantum computers could break widely used encryption.

Building a quantum security portfolio

Elisity CEO James Winebrenner will continue to lead the acquired business after the deal closes. The transaction is expected to close in the fourth quarter of 2026, subject to regulatory approval.

The move marks IonQ’s latest expansion beyond pure quantum computing. The company completed its acquisition of chipmaker SkyWater Technology earlier this year to bring semiconductor manufacturing in-house and boost the development of its next-generation quantum processors.

Analysts say the deal reflects a growing bet across the industry that cybersecurity and quantum computing will converge, as governments and companies begin preparing data infrastructure for an era in which today’s encryption standards may no longer hold.

Reporting based on coverage by Reuters.