Materials scientists have been running into the same wall for 44 years. The dominant high-performance magnet, neodymium-iron-boron (NdFeB), was discovered independently in 1982 by Masato Sagawa at Sumitomo Special Metals and John Croat at General Motors — and nobody has fundamentally improved on that chemistry since. The reason is not a lack of effort. It's that the magnetic behavior of candidate replacement materials depends on strongly correlated electron interactions, a quantum mechanical phenomenon that classical computers struggle to simulate accurately. Now a French quantum computing startup called Alice & Bob thinks it has found a way through.
Alice & Bob was awarded $3.9 million from ARPA-E, the U.S. Department of Energy's advanced research arm, on March 31, 2026 to develop fault-tolerant quantum algorithms for discovering rare-earth-free permanent magnets. The three-year project — part of ARPA-E's Quantum Computing for Computational Chemistry (QC3) program — brings together Los Alamos National Laboratory, GE Vernova's Advanced Research accelerator, and Professor Emanuel Gull, a visiting professor at Warsaw University and a professor at the University of Michigan. The target: a 10,000-fold speedup in computing time compared to state-of-the-art classical simulations, enabling realistic material calculations in roughly a day.
"We're not just running existing algorithms faster," a spokesperson told me when I asked about the scope. The hybrid approach pairs classical methods that compute environmental parameters with quantum algorithms that simulate the strongly correlated electronic systems where classical methods break down.
The supply chain problem this project is trying to solve is real and well-documented. According to The Quantum Insider, today's dominant magnet, neodymium-iron-boron, relies on rare-earth elements whose supply chains are geographically concentrated and subject to political constraint. China dominates rare earth processing. Any pathway to high-performance magnets that reduces that dependency is worth taking seriously.
But whether quantum computing is that pathway is the open question. "Designing high-performance magnets without rare earth elements is one of the hardest problems in material science, as these materials are extremely difficult to simulate with classical computers," said Juliette Peyronnet, U.S. General Manager at Alice & Bob, in the project's announcement. That much is not controversial. The claim that fault-tolerant quantum hardware will crack the problem in three years — and deliver a 10,000x speedup over classical simulation — is a significantly stronger assertion.
Alice & Bob's approach centers on cat qubits, a hardware architecture the company has been developing since its founding in 2020. Cat qubits encode quantum information into stable superpositions of microwave fields in a resonant cavity, with error rates that scale favorably compared to other superconducting qubit designs. The company claims this architecture can reduce the hardware overhead for building a useful large-scale quantum computer by up to 200 times compared to competing approaches, though that figure applies to general quantum computing tasks, not specifically to materials simulation.
The team at Los Alamos will develop tensor network tools to optimize quantum circuits for the task. GE Vernova's Advanced Research accelerator will run technoeconomic analysis on the discovery opportunities the hybrid algorithms might enable. Gull's group at Michigan and Warsaw will build the classical side of the hybrid pipeline. The division of labor makes sense on paper: classical algorithms for what classical computers do well, quantum algorithms for where they don't.
What the announcement does not contain is a demonstration. There is no published result showing quantum hardware outperforming classical simulation on any magnet material system. There is a three-year roadmap with a stated goal. The 10,000-fold speedup target is a destination, not a measurement.
This is the version of quantum computing that gets less coverage than the announcements: long-duration government-funded research programs with specific but unproven technical claims, run by companies with real incentives to demonstrate progress. Founded in 2020, Alice & Bob has raised €130 million in funding and employs more than 200 people. The company's investors are waiting for evidence of commercial relevance beyond hardware benchmarks. A successful outcome for this project would be a significant data point in the argument that fault-tolerant quantum computing can tackle real-world materials problems — a claim the field has been making for decades without producing the goods.
The NdFeB problem is genuinely hard enough that even an incremental advance in classical simulation capability would be useful. Whether quantum hardware at current maturity levels can contribute meaningfully within three years is a question the data will eventually answer. Until then, the press release says what it says. The physics will do what it does.