Quantum Numbers Corp. (TSXV:QNC) shares have jumped more than 50% year to date yet the Company’s valuation could still rise substantially
SmallCapPower | December 19, 2019: The year 2020 could be an eventful time for companies such as Quantum Numbers Corp. (TSXV:QNC). These cryptography businesses, for those who don’t already know, generate long strings of random numbers that secure your credit card info online as well as encrypt your e-mails – the more difficult these numbers are to guess, the better the security.
Quantum Numbers Corp. is a Canada-based company focused on the commercialization and development of the quantum random number generator (QRNG) technology. QNC works with microprocessors vendors and OEM (Original Equipment Manufacturers) to develop and market the most secure and affordable encrypted communication solutions for the financial/banking, military, mobile and Internet telecommunication sectors.
Quantum Numbers Corp. has a unique QRNG product offering known as QRNG2, which is the first QRNG in the market the size of an integrated circuit and is one of the most powerful chips in the market.
Furthermore, QRNG2 is specifically designed to be integrated into consumer electronics, but powerful enough to secure sensitive communications, including financial and mobile communications, cloud-based applications, as well as military communications.
QNC provides a source of absolute randomness, a key prerequisite for any encryption scheme to provide reliable cybersecurity. QRNG2 is a cutting edge QNRG based on quantum tunneling, a purely quantum effect that guarantees complete randomness. It also has the capacity to deliver up to 1 Gigabits per second (“Gbps”) of full-entropy random numbers and is small enough to be embedded in a microprocessor chip. Quantum Numbers Corp. is licensing the technology to leading manufacturers and integrators to address the market needs for an affordable but secure hardware encryption solution.
The following markets represent significant opportunity for Quantum Numbers Corp:
IoT: The Internet of Things (IoT) security market is estimated to grow from US$7.9 billion in 2016 to US$36.95 billion by 2021, at a compound annual growth rate (CAGR) of 36.1%.
Mobile Communication: Breaches into mobile device platforms have become increasingly notable to hackers and cybercriminals, which have resulted in more spending on mobile security by individuals and enterprises. The mobile security market size is expected to grow from US$1.50 billion in 2014 to US$5.75 billion by 2019, a CAGR of 30.7%.
The global quantum cryptography market accounted for US$105.3 million 2018 and is expected to grow at a CAGR of 39.2% over the forecast period 2019-2027, to account for nearly US$2 billion by 2027, according to ResearchAndMarkets.
In early 2018, SK Telecom, Korea’s largest telecommunication company, made a strategic investment of US$65 million into ID Quantique SA, in order for the company to create a quantum number generator in chip form for mainstream IoT usage. With a market cap of a little more than C$10 million, Quantum Numbers Corp.’s valuation could rise substantially and still trade at a substantial discount to what SK Telecom values ID Quantique.
Shares of Quantum Numbers Corp. have surged more than 54% year to date to its current price of $0.17.
To read our full disclosure, please click on the button below:
