IonQ, Inc.

International and currency · Foreign exchange and currency exposure

Our international sales and operations subject us to additional risks and costs, including exposure to foreign currency exchange rate fluctuations, that can adversely affect our business, financial condition, revenues, results of operations or cash flows. Fluctuations in the exchange rates between the U.S. dollar and other currencies could result in an increase to the U.S. dollar equivalent of such expenses.

Credit and liquidity · Banking relationships and credit facilities

If banks and financial institutions enter receivership or become insolvent in the future in response to financial conditions affecting the banking system and financial markets, our ability to access our existing cash, cash equivalents and investments may be threatened.

Capital structure and performance · Debt management and refinancing

If we incur debt, the debt holders could have rights senior to holders of our common stock to make claims on our assets. The terms of any debt could restrict our operations, including our ability to pay dividends on our common stock.

Market and investment · Market volatility and economic cycles

The market price of our common stock may be highly volatile and may fluctuate or decline significantly in response to numerous factors, some of which are beyond our control. Market volatility, as well as general economic, market or political conditions, could reduce the market price of shares of our common stock.

Information management · Information systems and reporting

We have recently acquired a number of businesses, each with its own information technology systems. As we continue to grow and mature, we make efforts to integrate these businesses' systems into our existing systems.

Digital transformation and innovation · Artificial intelligence and automation

Our employees and personnel use generative AI technologies to perform their work, and the disclosure and use of personal information in generative AI technologies is subject to various evolving laws, regulations, guidance, industry standards, and other obligations.

Supply chain and procurement · Transportation and logistics disruption

Significantly increased freight charges, disruptions in shipping or reduced availability of freight transportation could have an adverse impact on the availability of components necessary to our business.

Core operations · Facility damage and equipment failure

For example, in February 2025, an overheating incident in one of our manufacturing rooms affected laboratory cleanliness and system components, necessitating cleaning and repair, as well as movement of components and systems, causing some disruptions and delays in availability of our systems.

Corporate governance · Internal controls and risk management

If we are unable to maintain effective internal control over financial reporting, investors may lose confidence in the accuracy and completeness of financial reports, and the market price of our common stock may decline.

Natural and catastrophic events · Pandemic and public health crises

For example, the coronavirus pandemic resulted in widespread unemployment, economic slowdown and extreme volatility in the capital markets and any future public health crises could result in similar impacts on the global economy.

Economic and market conditions · Market volatility and financial crises

The global economy, including credit and financial markets, has experienced extreme volatility and disruptions, including severely diminished liquidity and credit availability, declines in customer confidence, declines in economic growth, increases in unemployment rates, increases in inflation rates, higher interest rates and uncertainty about economic stability.

Market position and competition · Competitive pressure and market share loss

The quantum computing and networking industry is competitive on a global scale and we may not be successful in competing in this industry or establishing and maintaining confidence in our long-term business prospects among current and future partners and customers. Many of our competitors have substantially greater brand recognition, customer relationships and financial, technical and other resources.

Innovation and product development · Time to market and commercialization risks

If our computers fail to achieve a broad quantum advantage, our business, financial condition and future prospects may be harmed. Quantum computing technology, including broad quantum advantage, may take decades to be realized, if ever.

Market position and competition · Industry consolidation and market concentration

A significant increase in the price of one or more components could result from industry consolidation occurring within one or more component supplier markets or as a result of decreased production capacity at manufacturers.

Market position and competition · Patent expiration and generic competition

We may be negatively impacted by any early obsolescence of our quantum technologies. We depreciate the cost of our quantum systems over their expected useful lives. However, product cycles or quantum systems may change periodically due to changes in innovation in the industry.

Strategic execution · Geographic expansion and market entry

We expect to continue to expand our international operations by developing our sales and operations presence internationally, which may include opening offices in new jurisdictions. Any additional international expansion efforts that we are undertaking and may undertake may not be successful.

Data and privacy · Consumer privacy and consent

The CCPA provides for civil penalties of up to $7,500 per violation and allows private litigants affected by certain data breaches to recover significant statutory damages. Numerous other states have enacted, are in the process of enacting, are proposing to enact or are considering comprehensive state-level privacy laws.

Industry regulation · Safety and environmental regulations

We are subject to requirements relating to environmental and safety regulations and environmental remediation matters, which could adversely affect our business, results of operation and reputation. Our manufacturing process will have hazards such as hazardous materials, machines with moving parts, and high voltage electrical systems.

Tax and financial reporting · Financial reporting and accounting standards

We are required to maintain internal controls over financial reporting and to report any material weaknesses in such internal controls. The process of designing, implementing, and testing the internal control over financial reporting required to comply with this obligation is time-consuming, costly, and complicated.

Tax and financial reporting · Tax compliance and changes in tax law

Changes in tax laws could have a material adverse effect on our business, cash flow, results of operations or financial conditions. New income, sales, use or other tax laws, statutes, rules, regulations or ordinances could be enacted at any time, which could affect the tax treatment of our domestic and foreign financial results.