RGTIW

• Strong momentum in demand for on-premises quantum computers and collaborations.
• On track to deliver a 100-plus qubit chiplet-based quantum system with 99.5% median 2-qubit gate fidelity by end of 2025.
• Roadmap updates: 150-plus qubit system by end 2026 (99.7% fidelity), 1,000-plus qubit system by end 2027 (99.8% fidelity).
• Announced $5.7 million purchase orders for 2 9-qubit Novera systems; one for an Asian tech co as a testbed, the other for a CA startup for research.
• $5.8 million 3-year contract from AFRL to advance superconducting quantum networking with QphoX.
• Collaborations with C-DAC and Montana State University, with MSU being the first academic institution with an on-premises Rigetti quantum computer.
• Support for NVIDIA NVQLink for hybrid computation.
• Engaged with DARPA on QBI project, received constructive feedback for Phase B.
• Plan to open an Italian subsidiary.

• Revenue from AFRL contract and Novera system sales expected in Q4 2025 and 2026.
• Novera system sales revenue recognized upon shipment, with one system in Q1 2026 and one in Q2 2026.
• AFRL contract revenue ratable over 3 years.
• Roadmap targets: 150-plus qubit by end 2026 (99.7% fidelity), 1,000-plus qubit by end 2027 (99.8% fidelity).

In the third quarter of 2025, Rigetti's revenues were $1.9 million, compared to $2.4 million in the same period of 2024. Gross margins were 21% in Q3 2025 versus 51% in Q3 2024. Total OpEx in Q3 2025 was $21 million, up from $18.6 million in Q3 2024. Operating loss was $20.5 million in Q3 2025 compared to $17.3 million in the prior year. Non-GAAP net loss was $10.7 million in Q3 2025 versus $13.4 million in Q3 2024. As of September 30, 2025, cash, cash equivalents, and available-for-sale investments were approximately $558.9 million; subsequent to that and through November 6, 2025, proceeds from warrant exercises increased cash to ~$600 million.

• Uncertainties in achieving quantum computing milestones related to fidelity and error correction.
• Dependence on government contracts and funding, such as NQI reauthorization.
• Risks associated with scaling up quantum systems, including fab capabilities and foundry partnerships.
• Impact of competitive landscape on market share and revenue.

Q: Maybe first, Subodh, just kind of thinking about the DARPA Phase B, and just can you talk maybe a little bit about that?

A: Sure, David. So as we mentioned in the press release, DARPA did the initial selection of companies that they have got into Phase B. Unfortunately, we were not one of them, but they gave us good constructive input on what we need to do and what improve on to get into Phase B. So we are working on that. And it primarily goes into the area of error corrections and some areas of long-range coupling, things that are important in the long term to get to a DARPA fault-tolerant quantum computing milestone in 2033. Not as important in the short term to get to quantum advantage. So a lot of our focus has been and continues to be on getting to quantum advantage in the next 3 to 5 years with 1,000 qubits and 99.9% 2-qubit gate fidelity [ gate speeds ] and with some error correction. DARPA's input was more on the FTQC milestone and where we need to increase effort further, specifically in the area of error correction and in long-range coupling. So we are incorporating that input. We will continue to talk to DARPA. We are still part of -- very much part of Phase A and we'll continue to work with DARPA closely. So we're optimistic we'll get into Phase B soon. Exactly when, that's hard to know, but we'll continue to work on it. But I mean, DARPA's project, as you know, is a 7-year project. So just because we didn't make the initial cut, it's not a big deal. We feel pretty good that we'll make the cut in the next few months here.

Q: Quinn Bolton: Subodh, Jeff, I wanted to follow up on David's question just kind of around the road map, getting to 150 qubits next year and 1,000-plus in 2027. Subodh, can you just walk us through, is this still going to be a chiplet-based approach?

A: Sure. So good questions, Quinn. So 150 qubit with 99.7% 2-qubit gate fidelity, we definitely are planning on using 9-qubit chiplets. For the 1,000 qubit, our thinking right now is to go up to 36-qubit chiplets to get to the 1,000 qubit level at the 99.8%, 2-qubit gate fidelity by the end of 2027. That's our plan right now. The main reason we feel confident that we will be able to get to 1,000 qubits at the 99.8% is because of chiplets and the data we are generating with the current 36-qubit system as well as all the experiments we are doing with 100-qubit system that we hope to launch fairly soon. Regarding DARPA's input for error correction and long-range coupling, fundamentally, we have not seen any challenges in using chiplets and long-range coupling. The challenges are pretty much the same whether it's a single monolithic chip or chiplet-based system. Long-range coupling is a challenge for the whole industry, not just us. And as far as we have seen, chiplets don't change that challenge. It's still the physical distance between the qubit and how do you couple qubits across the width -- across certain width, it's nothing to do with chiplets per se. So we feel pretty good that we need -- I mean we obviously need to do long-range coupling as part of the input, but it doesn't make it worse just because we have chiplets. Hopefully, that answers your question.

Q: Craig Ellis: I wanted to follow up on a couple of prior questions to start. So Subodh, with regard to NVQLink, NVIDIA is very, very strong in the National Labs. Rigetti has a very strong position in National Labs. So can you talk about what Rigetti's historic strengths with National Labs mean for engaging with ecosystem partners that can help accelerate Rigetti's integration with hybrid compute and getting pulled into various workloads, including AI-related workloads with NVQLink?

A: Sure, Craig. So you are indeed right, I mean NVIDIA has a very strong presence in national labs, and so do we with quantum computing. So it's logical for the interfaces to be worked out at National Labs level, whether it's for the National Lab or the Oak Ridge National Lab or other national labs. Also the NQI initiative, although not funded at the higher level, the funding has restarted last week, as you probably saw. So it's exciting to have National Labs get their funding back again to some reasonable level and this NVQLink platform being launched at about the same time period. So certainly, we believe, as we have discussed in the past that in future, CPUs will continue to be used for sequential computing and GPUs will be used for parallel computing as they are being used today. And QPUs, quantum processing units, will be used for simultaneous computing. So everything we have discussed in the past, now we have a chance to start demonstrating it in real life in partnership with NVIDIA, with their NVQLink platform as well as the [indiscernible] quantum platform. So definitely expect more work in this direction where we will be able to generate data, where we will be able to take generic applications and split them into sequential parallel and simultaneous and show how the 3 respective technologies are suitable and the benefit of having the 3 technologies work together in a complementary way. That we believe is the best way to address future computation needs.