COPENHAGEN, Denmark--(BUSINESS WIRE)--Apr 10, 2025--
Sparrow Quantum, a leading European supplier of photonic quantum chips, has secured €21.5 million in Series A funding to accelerate the development and commercialization of its world-leading quantum chip technology. The investment round was led by PensionDanmark, with strong backing from EIFO and Novo Holdings and additional investments from existing investors 2xN, LIFTT, and the European Innovation Council. This investment will enable Sparrow Quantum to meet the growing demand for photonic quantum hardware by accelerating R&D, expanding chip production, and bringing next-generation quantum chips to market.
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Pioneering the Future of Photonic Quantum Chip Technology
Sparrow Quantum builds on a rich Danish history of scientific quantum discovery. While at the Niels Bohr Institute in Copenhagen, its founder Professor Peter Lodahl conducted research that laid the groundwork for the company’s flagship product, Sparrow Core —an on-chip deterministic single-photon source critical for scaling photonic quantum computing by generating photons reliably on demand. Today, Sparrow Core sets the industry benchmark, delivering best-in-class efficiency, quality, and exceptional stability.
“With this investment, we can truly intensify our efforts to bring quantum technology from the lab to the market,” says Professor Peter Lodahl, Founder and Chief Quantum Officer of Sparrow Quantum. “It enables us to scale up in three critical areas which are essential for industrializing our photonic quantum chips and ensuring we can deliver stable, advanced solutions to the market. It is an honor to build up a truly world-class team of quantum photonics experts with unique know-how on quantum photonic chip technology.”
Building on a €4.1 million seed investment raised in 2023, this new funding enables Sparrow Quantum to broaden its ambitions across the following strategic areas:
“Quantum technology can open an entirely new world of solutions to complex problems, and the Danish research environment, from which Sparrow Quantum emerges, has the potential to position Denmark as an international frontrunner in the field. Therefore, we see a clear potential for the investment to yield an attractive return on our members' pension savings while also benefiting the national economy and Danish industry. That is why it is an obvious investment for PensionDanmark,” says Peter Stensgaard Mørch, CEO of PensionDanmark.
Building on a Solid Foundation
In the past few years, Sparrow Quantum has made significant strides toward delivering market-ready solutions by partnering with quantum computer integrators and full-stack system providers across Europe. Powered by the Sparrow Core chip, photonic quantum computers can achieve notably faster processing speeds than earlier iterations using probabilistic sources, fuelling further advancements in generative AI and quantum-optimized machine learning. These developments promise unprecedented scalability and real-world applications across multiple sectors—within Europe and beyond.
Strengthening Europe’s Quantum Position
This investment exemplifies how to foster broader collaboration among chip manufacturers, foundries, and system integrators on European soil, marking a crucial leap for Europe’s emerging quantum supply chain. As Sparrow Quantum’s CEO Kurt Stokbro highlights: “This investment is a testament to Denmark and Europe’s ability to lead in quantum technology. With strong backing from visionary Danish investors, we are ready to unlock quantum breakthroughs that benefit society and the global economy.” Beyond commercial scaling, this investment strengthens Europe’s quantum supply chain, ensuring that chip manufacturing, quality control, and R&D remain within European borders. This aligns with key EU initiatives like the Chips Act, reinforcing technological sovereignty and global competitiveness in quantum innovation.
"Sparrow Quantum demonstrates how Denmark – building on the foundation of the Niels Bohr Institute – has developed world-leading quantum expertise. Professor Lodahl’s research paved the way for the company’s groundbreaking quantum chip, which is now in global demand. With our investment, we are strengthening both their leading position and the role of Denmark and Europe in the quantum future," says Peder Lundquist, CEO of EIFO.
About PensionDanmark:
PensionDanmark is a labour market pension fund and among the 50 largest pension funds in Europe. PensionDanmark manages pension schemes, healthcare programme and educational funds on behalf of 839,000 members and 21,100 businesses within the Danish private and public sector. PensionDanmark is not-for-profit and owned by our members. As a result, all profits go to our members. Contributions totaled EUR 2.2bn in 2024. Total AUM is now EUR 49bn. For more information please visit pensiondanmark.com
About EIFO – Export and Investment Fund of Denmark:
EIFO aims to open doors for global business, drive the green transition, advance innovative technologies, and contribute to Denmark's security.
EIFO is Denmark's national business development bank and official export credit agency in a single financial institution. With a total commitment of DKK 170 billion in 2024 and activities in more than 100 countries, EIFO offers financial solutions to Danish companies and their global partners.
EIFO is also Denmark's largest venture investor, investing in both startups and venture capital funds. In 2024, EIFO invested in 78 companies and 16 funds.
Read more at www.eifo.dk
About Novo Holdings A/S:
Novo Holdings is a holding and investment company that is responsible for managing the assets and the wealth of the Novo Nordisk Foundation. The purpose of Novo Holdings is to improve people’s health and the sustainability of society and the planet by generating attractive long-term returns on the assets of the Novo Nordisk Foundation. Wholly owned by the Novo Nordisk Foundation, Novo Holdings is the controlling shareholder of Novo Nordisk and Novonesis and manages an investment portfolio with a long-term return perspective. In addition to managing a broad portfolio of equities, bonds, real estate, infrastructure and private equity assets, Novo Holdings is a world-leading life sciences investor. Through its Seed, Venture, Growth, Planetary Health Investments and Principal Investments teams, Novo Holdings invests in life science companies at all stages of development. As of year-end 2024, Novo Holdings had total assets of EUR 142 billion.
About Sparrow Quantum:
Sparrow Quantum is a spin-out from a powerhouse of innovation—Professor Peter Lodahl’s research group at the Niels Bohr Institute. With 25+ years of ground-breaking research and nearly a decade of engineering expertise, they are dedicated to advancing the frontier of high-quality photon generation for quantum technologies. They specialize in light-matter interfaces—the essential building blocks for scaling optical quantum technologies. Sparrow Quantum's on-chip deterministic single-photon source is at the core of their innovation, a breakthrough technology that sets industry benchmarks and is trusted by quantum technology leaders worldwide.
By delivering high-purity, high-efficiency photons, Sparrow Quantum empowers its partners and customers to push the boundaries of quantum computing and secure communication, transforming the immense potential of quantum technology into real-world innovation and impact.
Learn more at www.sparrowquantum.com
Sparrow Core is a high-performance deterministic single-photon source.
Sparrow Quantum is a global leader in photonic quantum chip technology, reliably delivering single photons on demand.
