DC Money Moves: Quantum company IonQ wins $5.7 million nat sec contract

It’s been a buzzing summer in the DMV, especially when it comes to funding and acquisitions in the defense, aerospace and national security industries. 

College Park-based quantum computing company IonQ scored more than $5 million for a national security project, and the aerospace giant Lockheed Martin announced an acquisition of a local satellite company. 

In fact, several mergers and acquisitions happened in the DMV this season, despite higher interest rates that would usually reduce activity, according to industry professionals. 

Keep reading to get the details on those and more Money Moves in the region. 

But first, check out our monthly look at which companies are hiring for tech jobs in the region.

The University of Maryland taps IonQ for quantum contract  

Publicly traded company IonQ is partnering with the Applied Research Laboratory for Intelligence and Security (ARLIS) out of the University of Maryland (UMD), College Park. The orgs will create quantum computers focused on advancing national security. 

UMD awarded IonQ $5.7 million for the project, and there’s potential for a second contract valued at $12 million. The quantum computing company spun out of UMD, with its office still based in the university’s research park dubbed the Discovery District, along with ARLIS. 

“The purpose of the project is to help mature quantum computers to the point where they reliably support national security,” Craig Lawrence, the interim ARLIS executive director, wrote in a statement. “There is significant research and development that is needed before the defense and intelligence community can reach that goal.”

ARLIS, founded in 2018, is one of 15 designated Department of Defense University Affiliated Research Centers in the US. 

Lockheed Martin acquires satellite company 

Bethesda-headquartered aerospace giant Lockheed Martin announced it’s acquiring the Tysons Corner-based firm Terran Orbital for $450 million. 

Lockheed Martin already uses Terran Orbital’s satellites in its work with the US Space Force’s Space Development Agency, per a press release. 

“We’ve worked with Terran Orbital for more than seven years on a variety of successful missions,” Robert Lightfoot, president of Lockheed Martin Space, wrote in a statement. 

The companies expect to finalize the deal by the end of 2024. 

Other DC-area raises and awards

• The state of Maryland will be investing $11 million in advanced manufacturing and innovation through two programs, Gov. Wes Moore announced during a tour of the solid-state battery manufacturer ION Storage Systems in Beltsville.
  • One is a pilot program funding infrastructure projects in biotechnology, defense, quantum and cybersecurity 
  • The other is a grant program for small- to mid-sized firms focused on manufacturing in the state. 
• The DC-based software company Cove raised $6 million, totaling the firm’s outside investment to $16 million, the Washington Business Journal reported. 
• Thumbprint Furniture, an AI interior design planning startup out of Falls Church, raised $1.75 million, according to the Washington Business Journal. 
• The US Treasury Department awarded DC $61.3 million to improve public libraries, recreation centers and senior centers in the city. 
• The defense and intelligence firm Parsons Corporation acquired the cybersecurity and signal processing company BlackSignal Technologies for $200 million. Both companies are based in Chantilly. 

State funding agency investments

• Maryland-founded TEDCO invested $2.1 million in several companies across the state, including the electric manufacturing company US Plasma and the firm New Copper which supplies recycled copper to fuel 3D printing electronics. Both are based in College Park.
• The Virginia Innovation Partnership Corporation invested in the McLean security-focused AI company Bricklayer AI Inc. but did not disclose the investment amount. 

More moves found in Securities and Exchange Commission filings

According to recent followings, the following companies raised millions:

• $24 million for Silver Spring’s Aembit. 
• $16.1 million for Vienna’s Parkofon.
• $3.6 million for McLean’s Canopie. 
• $12.4 million McLean’s RunSafe Security.

This article references investments by TEDCO, a Technical.ly client. That relationship has no impact on this report.