Luxembourg could soon launch new funding instruments to help researchers and startups in quantum communications become market-ready and attract private venture capital.
“Today there is a lot of company support for R&D. But for the future it is important to develop additional instruments to invest in companies to strengthen their financial basis and help get them market ready to attract private VC,” said Luxinnovation CEO Mario Grotz.
He added: “Different ministries are talking about these kinds of instruments and I’m confident that there will be answers to that very soon.”
Grotz made the comments during a Quantum Communications panel hosted by the University of Luxembourg and the Luxembourg Chamber of Commerce on Thursday.
Strengthening Europe’s Quantum Sovereignty
The closing panel explored the strategic and technological challenges Europe faces in maintaining sovereignty over quantum technologies—including hardware development, talent retention, and infrastructure.
“There are seven or eight startups who are developing quantum computing technologies here in Europe, and they all seem to be quite promising,” Grotz said, adding: “Very often what happens is that the most promising technologies are bought by investors from the US.”
He stressed the importance of greater investment from within Europe and Luxembourg to protect and scale homegrown innovation.
What Is Quantum Communication?
Quantum communication is an ultra-secure method of transmitting information using photons—particles of light. In conventional communication systems, like emails or phone calls, data can potentially be intercepted without detection. In contrast, quantum communication makes interception detectable in real-time, thanks to the laws of quantum mechanics, which change the state of the transmission if tampered with.
This technology is becoming increasingly vital. Experts estimate that by around 2030, powerful quantum computers will be able to break classical encryption, posing risks to national security, financial systems, and internet infrastructure worldwide.
Luxembourg’s Quantum Vision for 2030
In response to these looming threats and opportunities, Luxembourg aims to become quantum-ready by 2030 through a national strategy focused on:
- Developing a small quantum computer, the forthcoming MeluXina-Q, to build expertise and support research.
- Stimulating industrial innovation and job creation through applied quantum technologies.
- Establishing secure quantum communication infrastructure, combining terrestrial and satellite networks.
- Adopting post-quantum cryptography (PQC)—encryption designed to withstand quantum computing attacks.
Time is a critical factor. As Grotz and other panellists highlighted, Europe must act swiftly to ensure its resilience and competitiveness in the quantum era.
Key Quantum Projects in Luxembourg
Speakers also presented flagship initiatives underway in Luxembourg, including:
- Lux4QCI: The Luxembourg Experimental Network for Quantum Communication Infrastructure, the national pilot project to build and test the country’s first QCI.
- LUQCIA: A terrestrial and free-space testbed designed to work in tandem with the Eagle-1 satellite segment, forming Luxembourg’s first end-to-end quantum communication link. This initiative is part of EuroQCI, the EU-led programme to establish a pan-European quantum-secure network.
Thursday’s panel also discussed current projects in quantum key distribution (QKD)—a method allowing two parties to exchange cryptographic keys with security guaranteed by quantum physics.
The conversation included recent developments such as a Chinese university’s reported success in breaking AES-224 encryption and the need for hybrid security approaches that combine QKD with PQC.