dMY Technology Group III (NYSE: DMYI) CEO Niccolo de Masi joined Benzinga’s “SPACs Attack” show Tuesday to talk about the SPAC merger deal with IonQ, quantum computing and more.
De Masi has launched four SPACs including Rush Street Interactive (NYSE: RSI), dMY Technology Group II (NYSE: DMYD) merging with Genius Sports Group, and dMY Technology Group IV (NYSE:DMYQ), currently searching for a target. De Masi is also the chairman of Glu Mobile (NASDAQ: GLUU).
SPAC Deal With IonQ: IonQ will be the first publicly traded pure-play quantum computing company with a merger with dMY Technology Group III.
The deal will give IonQ $650 million in gross proceeds. The deal includes a $350 million PIPE that includes investments from Fidelity, Silver Lake, Hyundai and Kia.
The deal values IonQ at a pro forma implied market cap of $2 billion.
“The rise of cloud computing has fundamentally changed the ability of IonQ to drive real revenue in the next three to four years even before the truly powerful world-changing machine comes,” de Masi told Benzinga.
Watch the full interview in the video below:
About Quantum Computing: onQ is seeking to build the world’s best quantum computers to solve the world’s most complex problems, transform business, society and the planet for the better.
“Quantum computers fundamentally are so powerful because all of the little gates inside the machine instead of operating in series like a console computer, the quantum computer allows them to operate in parallel,” de Masi said. “So all sorts of problems with huge complexity and dozens of digits of combinations sort through can actually be done in parallel.”
De Masi said IonQ has brought four of the broad quantum advantages from what they thought a few years ago from the late 2030s to late 2020s. This is what the time is ripe to launch the world’s first pure-play quantum computer company with over $650 million of new fresh capital that dMY Technology raised.
Competitive Advantage: IonQ competes with companies like Google, Honeywell International (NYSE: HON) and IBM (NYSE: IBM).
“We believe that we have two-plus years lead over other players, it might be more than two years,” De Masi said
Investors In IonQ: There are many big companies invested into IonQ including Google Ventures, Amazon.com (NASDAQ: AMZN) Lockheed Martin (NYSE: LMT), Hewlett Packard Enterprise (NYSE: HPE), Airbus and Samsung.
IonQ is uniquely focused on building the best machines every year: “The company has to build the only one machine to rent out time on it through the cloud to customers,” De Masi said.
Financials: The company is forecasting revenue of $5 million in fiscal 2021 and $15 million in fiscal 2022. The company will see a ramp-up of revenue beginning in fiscal 2025 with an estimate of $237 million.
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