Valuation Method for Intangible Quantum Assets

Proposed Methodology

In July 2024, Boston Consulting Group argued “Quantum Computing On Track to Create Up to $850 Billion of Economic Value By 2040”. If even a portion of the value emerges, valuing such assets (tangible or intangible) becomes a reasonable priority. .

After years in the business world, prior to entering the ecosystem of advanced technology, I read copious numbers of financial statements whether those created for internal business units or those created by external parties for client credit evaluations. One of the consistent challenges was that of accuracy in valuing intangible assets.

In this substack, I am not proposing using quantum computing, for example, in the calculation of intangible asset values, though that is conceivable as noted by the Chartered Professional Accountants of Ontario on page 31 of their 2021 report.

Rather, as businesses evolve into the quantum technology realm, a new understanding of intangible assets is expected top arise. In this substack, I propose a methodology for valuation of quantum assets such as algorithms (along with their digital cousins) for businesses to follow as they begin to incorporate nascent quantum technologies in their respective businesses.

Image source: Brian Lenahan/Midjourney