Quantum Technologies in Defence and Dual-Use: Strategic Trends and Opportunities
Quantum computing and related quantum technologies have rapidly moved from lab concepts toward strategic domains, with defence planners anticipating transformative impacts on security and warfare. Although many quantum capabilities remain pre-operational, NATO and EU officials alike recognize that quantum tech – from ultra-secure communications to precision navigation without GPS – could be game-changers for defence in the near future. There is growing concern that rival powers’ breakthroughs could lead to a “quantum surprise,” achieving sudden leaps in capability such as unbreakable encryption or novel sensors that catch the Alliance off guard. This has spurred a race to harness quantum innovations proactively, as evidenced by a flurry of official strategies and investment programs (2023–2025) from NATO, the EU, and allied nations. These initiatives aim to make the Alliance “quantum-ready” while strengthening Europe’s technological sovereignty and industrial resilience. In this report, we analyze the key trends, strategic priorities, and industrial domains for quantum technologies in defence and dual-use contexts, drawing on authoritative NATO and EU documents. We map how each priority – from collective defence to rapid procurement – connects to specific quantum technology sectors, identify major industry players and projects (especially beyond the traditional prime contractors), and highlight mid-term investment opportunities for venture capital and institutional investors aligned with NATO-EU priorities.