IonQ, Inc. (IONQ), a quantum computing and networking company, announced two new U.S. government awards on Thursday, expanding its reach into atomic clocks, satellite radar imagery, and national security technology.
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Meanwhile, IONQ is up over 4% in pre-market trading.
IonQ Scales Atomic Clock Production
The larger disclosed award is a $28 million contract extension from the Defense Advanced Research Projects Agency, or DARPA. IonQ will use the funding to increase production of its Evergreen-05 optical atomic clock and deliver 125 units to U.S. government customers.
The clocks are designed for uses including radar, secure communications, and precision geolocation. IonQ said it will invest another $15 million in production space, manufacturing and testing equipment, and staff to support the deliveries.
IonQ gained the technology through its October 2025 acquisition of Vector Atomic. DARPA began funding the core clock technology in 2019, several years before Vector became part of IonQ.
The Evergreen-05 is built to provide highly precise timing in a compact package. IonQ says the clock is about the size of a shoebox and takes up roughly 1/75th of the space required by an active hydrogen maser, a timing system commonly used in demanding government and scientific applications.
Capella Expands IonQ’s National Security Reach
The company also announced that Capella, its space division, received a contract under the National Reconnaissance Office’s Radar Commercial Augmentation program. Capella will provide synthetic aperture radar imagery and data services for U.S. national security missions.
Synthetic aperture radar can capture high-resolution images during the day or at night and through cloud cover. The technology can support mission planning, operational awareness, and other intelligence needs. IonQ did not disclose the value of the NRO contract, making its near-term financial effect harder to assess.
The awards follow a strong second-quarter update from IonQ. Revenue reached a record $80.1 million, up 287% from the prior year and 20% above the midpoint of management’s earlier guidance. The result suggested that IonQ is starting to turn its growing portfolio into meaningful sales, although the company continues to spend heavily.
Is IonQ a Good Stock to Buy Now?
The Street’s analysts have doubled down on IonQ Inc. after earnings with a Strong Buy consensus, based on 10 analysts’ ratings. The average IONQ stock price target is $68.22, implying about 70% upside from the current price.
