Infleqtion's stock surged 31.57% during intraday trading on Thursday, driven by news of a major government funding agreement aimed at bolstering U.S. leadership in quantum computing.

The quantum computing company signed a letter of intent with the U.S. Department of Commerce for $100 million in proposed funding under the 2022 CHIPS and Science Act. This grant is part of a broader $2 billion Trump administration initiative to award nine quantum-computing companies and take minority equity stakes in them.

Under the terms of the agreement, Infleqtion will issue $100 million in common stock to the Commerce Department at a 15% discount to market value, giving the U.S. government an equity stake in the company. The funding is intended to accelerate the development of neutral-atom quantum computing systems in the United States, with the administration viewing quantum technology as critical for economic and national security priorities.