HSBC and IBM are embarking on a three-year collaboration to explore applications for quantum computing in financial services

The new partnership, which will see HSBC join IBM‘s Quantum Accelerator program, is designed to bolster the bank’s expertise in quantum computing and ensure organisational readiness to drive value from the technology.

This will enable access to IBM’s quantum computing suite, including its recently announced 127-qubit Eagle processor, as well as quantum expertise, to help the financial institution validate and progress potential quantum use cases.

HSBC will look to prioritise pricing and portfolio optimisation, sustainability, risk management and fraud prevention, while upskilling staff in quantum technology through internal training programmes.

Additionally, there will be a focus on actively recruiting quantum computing research scientists, to build a dedicated capability within its innovation team.

The potential of quantum

A recent IBM report delves into how the exponential power of quantum computing could dramatically reshape financial institution operations, and help tackle the most pressing post-pandemic challenges with a discovery-driven approach.

The research suggests that quantum capabilities may spur new hyper-automated and deeply integrated business models.

Over 175 clients, including ‎Fortune 500 companies, start-ups, academic institutions and research labs, work with IBM Quantum technology to advance ‎quantum computing and explore practical applications.

“By investing in quantum computing we are innovating for the future, to make banking easier for our customers,” said Colin Bell, CEO of HSBC Bank plc and HSBC Europe.

“This technology has the potential to transform how we run areas of the bank by addressing challenges which classical computers may never be able to solve, alone. Our work with IBM, a leading provider of quantum computing, is essential to harnessing this potentially game-changing technology for financial services.”

Dr. Darío Gil, senior vice-president and director of IBM Research, commented: “Financial institutions and organisations around the world are eagerly awaiting real-world applications of quantum computing, and exploring industry applications for quantum computing should be a key tenet of any enterprise strategy today.

“We are excited to team with HSBC to explore applications of quantum technology to their business operations and help turn their aspirations into reality.”

Related:

How quantum computing is helping businesses to meet objectives — Johannes Oberreuter, Quantum Computing practice lead and data scientist at Reply, spoke to Information Age about how quantum computing is helping businesses to meet objectives.

Reprogramming banking infrastructure to deliver innovation at speed — Ricardo Diniz, vice-president and general manager for UK and Southern Europe at WSO2, discusses how banking infrastructure can be reprogrammed to deliver innovation at speed.