A new company backed by International Business Machines Corp.
(NYSE:IBM) is receiving a $1 billion U.S. government investment to establish America's first quantum foundry, supporting Wall Street forecasts that IBM will be a central player in the global quantum industry.
Validating The 'Massive Upside' This historic federal backing confirms Wedbush Securities analyst Dan Ives' thesis.
Analyzing the tech sector's trajectory, Ives told CNBC that IBM is a "sleeping giant" and praised its strategic direction, noting that IBM "continues to be one that has massive upside." Ives forecasted this type of aggressive government intervention.
Highlighting the technological "arms race" between the U.S. and China, he stated investors needed to watch the White House, predicting they were "going to continue to make stakes no different than Intel." That foresight materialized flawlessly with this new CHIPS Act funding strategy.
