Investing.com -- Xanadu Quantum Technologies Ltd (NASDAQ: XNDU) shares rose 3% in early trade Monday after the company announced it received provisional approval for project funding worth up to $10 million under DARPA's Quantum Benchmarking Initiative.

The one-year contract extension builds on Xanadu's work in Stage B of the program and reflects DARPA's continued support for the photonic quantum computing company's research and development efforts.

Under the contract, Xanadu will provide regular progress reports to DARPA for continued evaluation while allocating the majority of the funding to advance critical components in its R&D roadmap over the next 12 months.

DARPA's Quantum Benchmarking Initiative evaluates quantum computing architectures to determine which approaches can deliver utility-scale performance within realistic budgets and timelines. Successful completion of Stage B evaluations maintains Xanadu's path through the program, where quantum computer concepts undergo formal verification and validation.

The company's photonic quantum computing architecture operates at room temperature with minimal cooling requirements, along with a modular, networkable design and fast clock speeds. Xanadu's latest photonic quantum computer, Aurora, demonstrates networkability and the scalability of the company's photonic approach.

"Ongoing participation in QBI reinforces Xanadu's goal of developing quantum computing solutions that deliver practical value across industries, including drug discovery, advanced chemistry, aerospace, defense, and AI," said Dr. Christian Weedbrook, Founder and Chief Executive Officer of Xanadu.

Founded in 2016, Xanadu develops both quantum computing hardware and software, including PennyLane, its open-source quantum computing platform.

Original Article