AI could accelerate quantum computing breakthrough, Bank of America strategist says

ByANNA AHRONHEIMOCTOBER 29, 2026 10:16

The combination of artificial intelligence and quantum computing could accelerate advances in both technologies, potentially transforming industries ranging from healthcare to finance, according to senior Bank of America global strategist Haim Israel.

Israel, who heads the bank’s global thematic research team and is the most senior Israeli there, said advances in AI are helping researchers overcome longstanding technical challenges in quantum computing, while quantum technology could eventually address some of the processing limitations holding back AI development.

“We spent the last couple of years talking about AI, and while quantum was always there, it was in the background,” Israel told The Jerusalem Post. “But in the last two to three years, AI has allowed us to have a breakthrough.”

The bank estimates that the quantum computing industry, which has already surpassed $1 billion in annual revenue, could grow to approximately $15 billion by the end of the decade and $80 billion by 2035.

At the same time, the timeline for so-called Q-Day, the point at which quantum computers should become capable of breaking widely used encryption methods, is moving closer. According to Israel, Bank of America has brought its estimate forward to 2030.

Quantum computers operate differently from conventional computers, which process information using bits represented as either zero or one. Quantum computers use quantum bits, or qubits. They exploit quantum-mechanical properties such as superposition to perform certain calculations in ways that are impractical for conventional systems.

The technology has long faced a central obstacle: qubits are highly sensitive to their surroundings, making them difficult to control and prone to errors. And unreliable results have limited the ability to scale quantum systems and use them for practical applications.

Israel said AI was helping researchers improve control over quantum systems and reduce error rates, marking a significant step toward more reliable machines.

“2022 was the inflection point with qubits going up and errors going down,” he said.

The relationship between the two technologies could become increasingly important as AI models grow in size and complexity. Training and operating advanced AI systems requires substantial computing resources, while quantum computers could eventually accelerate particular calculations that are difficult or expensive for conventional machines.

“AI helped build quantum, and quantum is bringing AI to the next level,” Israel said.

Israel said the industry was approaching an early development stage comparable to the period before the widespread adoption of ChatGPT brought generative AI to mainstream attention.

“We are before the ChatGPT moment of quantum,” he said.

Although quantum computing is at an early stage, Israel said the sector already has an established ecosystem of hardware and software developers, alongside start-ups working on encryption and related technologies. He said the industry was better positioned than AI had been at a comparable stage, although its commercial structure would be different.

But rather than becoming a widely distributed technology used by billions of people like AI, quantum computing is likely to remain concentrated in a relatively small number of highly specialized systems, he said.

Its potential applications span healthcare, financial services, chemicals, energy, industrial production, and logistics, where complex calculations could help companies improve efficiency, optimize processes, and accelerate research.

No regulation or intervention

Israel said the pace of development was raising questions about whether governments, regulators, and institutions were keeping up with the technology.

“There is not a lot of regulation, or government intervention,” he said, adding that responsibility for how these technologies are used ultimately rests with the people and institutions developing them.

He compared the issue to nuclear energy, which can be used to generate electricity but also produce weapons.

He said companies were already developing internal safeguards and best practices, while governments faced the challenge of responding to technologies advancing faster than existing regulatory frameworks.

For now, significant technical and commercial hurdles remain before quantum computing can deliver on its broadest promises. But as AI helps researchers improve quantum hardware and software, the two technologies are increasingly being developed in tandem, with potential consequences for scientific research, industrial productivity, and global cybersecurity.

“The technology is parve. It's a question of what we do with it,” Israel said. “If we use it in the right way, everything will change for the better. It’s up to us.”

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