South Korea Quantum Stocks Surge After Nvidia Unveils New Technology

Nvidia’s New Technology Sparks Buying Frenzy

Component Makers, Security Firms Post Double-Digit Gains

Quantum-computing stocks in South Korea soared in a broad rally, with several hitting the daily limit, after Nvidia unveiled new quantum-computing technology that boosted investor appetite.

According to the Korea Exchange on July 15, information-security company Dream Security closed at the 30% daily limit. The company is developing post-quantum cryptography, or PQC, to defend against attacks from quantum computers.

Other stocks also finished limit-up, including quantum-component maker QSI, which rose 29.99%, RNTX, up 29.96%, ICTK, up 29.95%, and Xgate, up 29.93%. RNTX supplies quantum random number generator chips to domestic smartphone clients. ICTK and Xgate both have quantum-encryption security technology based on PQC.

A positive development in the global quantum-computing industry announced a day earlier helped trigger the rally. On July 14, Nvidia unveiled Ising, a family of AI models that uses quantum-computing technology to solve processor calibration and error-correction problems. Quantum computing can dramatically increase processing power beyond that of supercomputers, but high error rates have remained a major hurdle to commercialization because even minor environmental changes can alter results. Nvidia said Ising can raise quantum error-correction speed by as much as 2.5 times and improve accuracy threefold, making it a potential catalyst for faster commercialization.

Nvidia Chief Executive Officer Jensen Huang had said earlier this year that commercial quantum computers were at least 20 years away, only to later reverse himself and say he was wrong. Nvidia shares rose 3.80% to close at $196.51 on July 14. On the same day, quantum-computing specialist IonQ surged 20.16% after announcing technology that links independently operating quantum computers into a single network. Other developers also climbed, including D-Wave Quantum, up 15.84%, Rigetti Computing, up 11.50%, and Quantum Computing Inc., up 11.55%. The gains helped draw buying into related South Korean shares.

Industry participants expect the quantum-computing era to begin in earnest as soon as three years from now. Bank of America projects the quantum-computing market will grow from about $300 million last year to about $4 billion by 2030.

Kim Se-hwan, an analyst at KB Securities, said the industry had expected commercialization in 2029 to 2030, but technological advances are accelerating that timeline. Volatility will remain high, he said, but investors should watch the sector as a core technology for AI infrastructure.

Oh Hyun-a / Cho Ara, Hankyung.com reporters 5hyun@hankyung.com