Wedoany.com Report on Feb 6th, Tennessee has recently made a significant move in the quantum technology field. Governor Bill Lee formally announced in his State of the State address that $24 million in special funding will be allocated to drive leapfrog development in the quantum computing industry. This includes a direct commitment of $20 million in core funding from the state government. Concurrently, EPB (Chattanooga's Electric Power Board) secured a $4 million federal grant from the National Institute of Standards and Technology (NIST), establishing a dual funding guarantee system characterized by "state-led initiative + federal empowerment." Governor Bill Lee emphasized: "Tennessee is committed to being a catalyst for solving complex problems. Quantum technology is the key leverage point for us to enhance future industrial competitiveness. This investment will bridge the entire chain from basic research to industrial application, attracting more federal resources and private capital to join the quantum ecosystem development."

As the core vehicle for the funding implementation, EPB will focus on advancing two major strategic tasks. First, launching a quantum computing fellowship program to select eight top researchers for customized training in cutting-edge fields such as quantum algorithm development and quantum network operation and maintenance. Led by Paul Smith, EPB's Quantum Computing Manager, the program will focus on developing scenario-specific quantum solutions for EPB's power customers, such as grid optimization and energy efficiency improvement. Second, accelerating the construction of the EPB Quantum Center, which is expected to be completed in early 2026. It will become the first comprehensive facility in the United States to simultaneously provide access to a commercial ion trap quantum computer (IonQ Forte model) and a photonic quantum network. Currently, the deployment of an NVIDIA DGX hybrid computing system has been completed. By integrating classical supercomputing with quantum processing capabilities, it will provide full-stack technical support for industry-academia-research collaboration. EPB President Janet Rehberg stated regarding this: "This investment will not only cultivate a group of highly skilled talent proficient in cutting-edge technology but will also propel Tennessee to become a global source of quantum application innovation, leading quantum transformation in critical fields such as energy and cybersecurity."

At the ecosystem-building level, Tennessee has formed a multi-stakeholder collaborative development landscape. The Tennessee Quantum Innovation Institute, jointly established by Vanderbilt University and EPB, will focus on core areas such as quantum nanophotonics and quantum information systems, conducting frontier research and graduate training. Plans include setting up a dedicated academic campus in Chattanooga to achieve seamless connection between research teams and industry needs. As a regional coordinating body, the Chattanooga Quantum Collaborative (CQC) has launched a ten-year development plan. By hosting World Quantum Day series events and building industry exchange platforms, it aims to promote quantum technology popularization and cross-sector cooperation. The inclusion of Dr. Rick Mukherjee, Director of the University of Tennessee Quantum Center, further strengthens the linkage between academic resources and industrial practice. Furthermore, EPB has established deep collaborations with entities like the U.S. Department of Energy's Oak Ridge National Laboratory (ORNL) and quantum company IonQ. Together, they are developing quantum algorithms for grid optimization. Leveraging EPB's 15,000-mile fiber optic sensing network and massive energy data, they are exploring the practical application value of quantum technology in scenarios such as reducing power loss and improving grid reliability.

This infusion of funds coincides with a critical window of accelerated development for the U.S. quantum industry. According to the *National Quantum Initiative Reauthorization Act (2026)*, the U.S. federal government will continue to increase investment in quantum research and development, focusing on supporting quantum communication network construction and industrial commercialization. Tennessee's layout aligns highly with federal strategy, positioning it to potentially secure more policy support and funding. From a market perspective, quantum technology is projected to bring an additional $2 trillion in value to global industries by 2035. The energy sector quantum applications Tennessee is focusing on, particularly grid optimization, are expected to see a market size exceeding $4.3 billion by 2030. With the simultaneous advancement of talent cultivation, technology R&D, and infrastructure construction, Tennessee is transitioning from a "follower" to a "leader" in the quantum industry. This will not only create high-value-added jobs and new drivers for local economic growth but will also contribute critical strength to enhancing the dual-use (civilian and military) capabilities and global competitiveness of U.S. quantum technology.