Xanadu to build photonics manufacturing hub with C$195 million Canadian loan

The Canadian government is providing a C$195 million loan to Toronto-based quantum computing firm Xanadu to establish an advanced photonics research, development, and manufacturing hub. This investment, part of the company’s Project OPTIMISM, represents the largest support for quantum technology in Canadian history.

The new 158,000-square-foot facility, named Inception, will be located in Etobicoke at the former Campbell’s Soup factory. Xanadu intends to use the hub to manufacture photonic components necessary for future quantum data centers, with the goal of establishing its first data center by 2029. The project is expected to create up to 275 jobs.

Xanadu specializes in light-based quantum computing technology designed to operate at room temperature. While the federal loan has been secured, the company expects to announce a deal for an additional C$195 million in funding from the Ontario provincial government in the near future.