Dr. Christian Weedbrook reports

XANADU SECURES CAD $195 MILLION AND ESTABLISHES LANDMARK ADVANCED PHOTONICS FACILITY

Xanadu Quantum Technologies Ltd. will establish a landmark advanced photonics research, development and manufacturing facility as part of Project Optimism, supported by $195-million in federal government funding also announced today. The new facility, named Inception, is expected to feature world-class technology to enable scalable production of the components that will power future quantum data centres. We believe this work will revolutionize quantum infrastructure and strengthen Canada's position as a global leader in the field.

The support for Inception is part of the largest government investment in quantum manufacturing in Canadian history. The funding is expected to accelerate scaling the photonic hardware required to achieve fault-tolerant quantum computing, the crucial milestone for delivering commercially meaningful, real-world solutions.

Designed to be a global facility for the manufacturing, packaging and assembly of quantum computing components, the 158,000-square-foot Toronto site is being transformed into one of the world's most sophisticated photonics facilities.

Inception is expected to feature state-of-the-art cleanrooms and equipment tailored for high-precision quantum hardware. Key technical capabilities are expected to include round-the-clock test and measurement facilities and first-of-its-kind heterogeneous integration. This integration process is vital for combining diverse photonic components onto a single scalable chip. These advanced capabilities will leverage Xanadu's established industry partnerships and integrate specialized tooling from ASMPT, Bluefors, DISCO, EVG, FiconTEC and MPI. The facility is expected to house Xanadu's systems integration and operation centre, where quantum modules are assembled, tested and verified before being installed into server racks.

"The launch of Inception is a defining strategic milestone for Xanadu and the broader quantum industry," said Dr. Christian Weedbrook, founder and chief executive officer of Xanadu. "We believe that this investment ensures that Xanadu remains at the forefront of the field, providing the infrastructure necessary to transition quantum technology from the lab to commercial-scale data centres."

Xanadu is on a mission to build quantum computers that are useful and available to people everywhere. Inception is central to this mission, serving as a world-class facility for building the next generation of quantum infrastructure to meet the global demand for fault-tolerant quantum computing.

About Xanadu Quantum Technologies Ltd.

Founded in 2016, Xanadu is a Canadian photonic quantum computing company with the mission to build quantum computers that are useful and available to people everywhere. Xanadu is building fault-tolerant quantum computers using light, with systems designed to operate at room temperature. Xanadu develops both hardware and software, including PennyLane, its open-source quantum computing platform. Xanadu is the first pure-play photonic quantum computing company to list on public markets (Nasdaq/Toronto Stock Exchange: XNDU) and is recognized globally for its breakthroughs in scalable quantum technologies.

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