Critical Technologies Challenge Program round 1 projects

Lead applicant: La Trobe University

As artificial intelligence and digital services grow, so does the demand on data centres – the backbone of our digital world. However, these centres consume massive amounts of energy, contributing significantly to global emissions. Our project examines how cutting-edge quantum computing can help address this energy challenge. 

We focused on a particular quantum algorithm called the Quantum Walk-Assisted Optimisation Algorithm (QWOA), which we developed and applied to the problem of efficiently managing data centre operations to reduce energy use while maintaining performance. By simulating this quantum algorithm, we compared its performance to that of conventional approaches, such as genetic algorithms and local search methods. We found that QWOA can find better solutions using fewer steps, which could potentially lead to faster and more energy-efficient decision-making in real-world systems. 

The next phase of the project will test these methods on larger problems and explore new directions, including quantum machine learning and hybrid classical-quantum strategies. Furthermore, we will deepen our collaboration with industry partners NextDC and Fujitsu, and explore potential new partnerships with the Pawsey Supercomputing Centre in Australia and data centres in Sweden by applying our algorithms to their real operational data, a critical step in advancing our solution towards market readiness. 

Although today’s quantum computers are not yet powerful enough to run these algorithms at scale, our findings indicate strong potential for future advantage. We observed that as problem size increases, the quantum approach scales more favourably than exact classical methods and can outperform approximate methods, a promising indicator of its potential impact once next-generation, fault-tolerant quantum computers become available. 

This project is one of the first to demonstrate how quantum computing can play a significant role in reducing the energy demands of data centres. As quantum technology matures, we believe this work can pave the way for smarter, greener digital infrastructure – supporting both economic growth and sustainability.

Lead applicant: Miniprobes Pty Ltd

Over 1.7 million Australians have diabetes. It is the leading cause of chronic foot ulcers and foot amputations. Our team have developed a new optical imaging technology to assess diabetic foot ulcers and guide treatment. But the technology is infeasibly slow and bulky using traditional scanning methods. We are developing a new type of scanner using quantum technologies that will make our imaging technology small, fast and practical. 

In our feasibility project, we created a parallel scanning technique that splits a single light beam between 8 fibre-optic probes. Each probe focused light to acquire a high-resolution image at a point on the skin. By detecting the light using avalanche photodiodes, we were able to rapidly acquire measurements with a minimal number of photons. 

In the next stage of this project, we will increase our parallel scanning capability by an order of magnitude, to 100 parallel fibre-optic probes. We will achieve this by embedding the optical system on a photonic integrated circuit. These are similar to the integrated circuits that have revolutionised the computer industry over the past 50 years, but allow us to miniaturise optical components instead of electronics. This will reduce this size of our optical system to a few millimetres, improve optical efficiency and reduce scan time. 

This quantum project builds on parallel work being undertaken by our team to establish the clinical workflow using a traditional, non-quantum scanner; and develop artificial intelligence algorithms to automate the analysis of this new type of medical scan. By incorporating quantum optical imaging techniques into the commercial development of this new medical device, we will be the first-to-market with a small, robust imaging scanner for the $1 billion global market of vascular imaging in diabetes.

Lead applicant: The University of Sydney

Conventional CT is the gold standard in diagnostic imaging for many conditions particularly lung cancer, and functions by rotating an x-ray source and detector around the patient to produce a 3D image. Mechanically moving a conventional x-ray source and detector is a complex challenge that results in CT systems being large and expensive with complex installation and maintenance requirements. 

We propose Quantum CT in which carbon nanotube source arrays produce x-rays around the patient via quantum tunnelling without any mechanical motion. This enables a 3D x-ray imaging device that is small, light, fits in commercial vans and operates on a regular power outlet. We have developed a QCT design specifically for lung cancer diagnosis suitable for use in rural Australia to assist delivery of the National Lung Cancer Screening Program. We continue to experiment with QCT designs as a method of expanding applications of and access to 3D x-ray imaging.

Lead applicant: The University of Wollongong

LANTERN is a breakthrough in medical imaging, designed to make advanced cancer treatment accessible everywhere. Many patients – especially in rural areas – lack access to high-quality imaging needed for precise radiotherapy. LANTERN upgrades existing radiotherapy machines to provide CT-comparable imaging, enabling clearer tumour visualisation and safer, more effective treatment. 

Our second-generation prototype showed a 50% improvement in soft tissue contrast and 4x improvement in resolution, supporting adaptive radiotherapy that adjusts to daily changes in patient anatomy. Now, in partnership with Elekta, we're set to integrate LANTERN into commercial systems – bringing world-class cancer care to clinics across Australia and beyond.

Lead applicant: University of Melbourne

In partnership, the University of Melbourne and Tessara Therapeutics are combining world-leading synthetic brain micro-tissue cultures with a breakthrough in quantum-enabled voltage imaging to unlock a new frontier in how we discover treatments for neurological diseases. 

The core of our innovation is a diamond-based quantum sensing platform that optically detects the electrical signals produced by brain cells without invasive wires or dyes. When integrated with Tessara’s RealBrain® micro-tissue cultures, designed to accurately replicate human brain tissue, this technology allows us to ethically probe the effects of diseases and experimental treatments on the human brain in the lab with unprecedented precision. This matters because bringing a new drug candidate to market is time consuming, costly and, most of all, risky. Neurological drugs fail human clinical trials over 95% of the time, disincentivising investment in the entire field. 

Our system provides a scalable, high-throughput tool for measuring real-time neural activity, making it possible to test treatment efficacy on disorders such as Alzheimer’s, schizophrenia, epilepsy, anxiety and more within petri dishes well before human trials. This promises to accelerate neurological drug discovery by reducing failure rates, lowering costs and reducing risk across the pharmaceutical pipeline. 

To make this a reality, we developed a novel method for microfabricating quantum-compatible diamond pillars that interface to 3D neuronal cultures. These structures are small enough (30 µm) to access electrical activity within the culture core. Our consortium validated the biocompatibility of the diamond devices and identified tissue-diamond interfacing methods with minimal impact on tissue viability. 

With feasibility of the proposal now established, we are now working on demonstrating the differences between healthy and diseased tissue cultures. This demonstration lays the groundwork for a globally scalable quantum-powered brain-on-chip solution to the problem of neurological drug discovery and screening. This platform has the potential to revolutionise neuro-pharmaceuticals R&D and position Australia as a leader in quantum-enabled biotechnology.

Lead applicant: Loughan Technology Group Pty Limited

There is critical value locked in Australia’s clay-hosted REE deposits. 

Australian clay-hosted REE deposits are a high-value strategic resource, giving sovereign supply in an increasingly volatile global market and tense geopolitical environment. Such deposits are less enriched in REE than hard-rock ores but the economically-extractable fraction is held in easily leachable portions of the clay. Current sensing technologies such as pXRF give information on only the total, often uneconomically extractable, component, with inability to quantify the economically recoverable fraction leading to inaccurate assessments of REE-profiles, unnecessary aggressive extraction process, higher costs and reduced social licence. 

Geometallurgical insights for clay-hosted REE deposits in minutes, not months. 

Our consortium, composed of industry-leading miners, quantum technology experts and geologists, has developed a Quantum Novel Fluorescence Analysis (Q-NFA) sensor which targets specifically the economically-recoverable fraction of clay-hosted REE in real-time (less than 2 minutes per sample) with very high accuracy. Powered by quantum technology and bespoke AI algorithms, this sensor greatly surpasses current in-field REE sensors without need for laborious sample preparation, bulky equipment or highly trained personnel. With no direct competition, our Q-NFA technology directly addresses a critical gap in REE sensing capability, allowing field operators to make real-time, data-driven decisions. 

A consortium uniquely placed to solve a problem of national significance.

Our mix of research, mining industry and commercialisation experts enabled rapid and timely advancement of Q-NFA technology sensor from the laboratory to a tested and highly effective TRL 5 prototype. We now seek to bring Q-NFA to market on a fast timeframe, motivated by current market opportunities and geopolitical drivers, with our early partnerships with industry demonstrating strong and immediate market pull. We are creating an intelligent, field-deployable sensor platform for critical minerals of great value to Australia’s future.

Lead applicant: Orica Australia Pty Ltd   

Efficient mineral recovery is a cornerstone of Australia’s economy. Orica, a global leader in mining technology, has developed WebGen™ – a revolutionary wireless initiating system that uses magnetic induction signals to safely and efficiently enhance blasting operations. By eliminating physical connections, WebGen™ enables smarter, safer, and more productive mineral extraction. 

The University of Queensland Quantum Optics Laboratory (QOL) has developed the next generation of sensors that combine low size, weight and power requirements with exquisite sensitivities. This sovereign Australian technology leverages techniques developed for research in the field of quantum opto-mechanics. 

But the future of mining demands even more precision. That’s where the Quantum Optics Laboratory steps in. Together with Orica, they’re pushing the boundaries of what’s possible. The sensors developed by QOL can detect the ultra-weak magnetic signals that are essential for WebGen™’s performance in harsh mining environments. 

These sensors measure microscopic changes in materials that change shape when exposed to magnetic fields. With just milliwatts of laser power, they achieve extraordinary sensitivity— perfect for the compact, power-constrained conditions of drone and borehole deployment. 

The stage 2 CTCP project will accelerate the development of advanced magnetometers for mining, defence, and aerospace. QOL brings unique capabilities to overcome quantum limits and refine these sensors for real-world use. The resulting magnetic sensing systems, equalling the sensitivity of state-of-the-art non-portable magnetometers, will feed directly into Orica’s WebGen™ platform and tap into the $10 billion global exploration market as well as other potential markets in defence and medicine. 

This partnership between Orica and QOL is more than a collaboration—it’s a fusion of industrial strength and academic brilliance. The result? A leap forward in mineral recovery technology that’s safer, more efficient, and proudly developed in Australia for a global market.

Lead applicant: Deakin University

As Australia transitions to a smarter and more diverse energy grid, the risk of attacks on critical infrastructure have increased tenfold. This project will deploy the first quantum-secure communications demonstrator on a microgrid, using wholly Australian-developed CV-QKD technology. The demonstrator will allow assessment of the technology readiness, provide a testbed for an additional suite of quantum secure technologies, create awareness among industry and cement Australia at the forefront of the quantum cybersecurity industry. This study has reinforced that we have sufficiently minimised the risks and are ready and capable to deploy stage 2 successfully.

Lead applicant: Royal Melbourne Institute of Technology

Neurological disorders – including the long-term effects of concussion and age-related conditions such as Alzheimer’s disease – now represent the leading cause of global health burden. The challenge is particularly urgent for aging societies: in 2019, total spending on neurological diseases reached $US1.7 trillion, with the economic burden projected to skyrocket to $US86.3 trillion by 2050. 

Despite the scale of the problem, there are no widely accessible, non-invasive tools for routine, whole-brain health monitoring. Magnetoencephalography (MEG) is the only technology capable of directly monitoring brain activity across the entire brain. It is considered the gold standard for diagnosing and managing conditions like concussion, Alzheimer’s and epilepsy, and holds promise for improving treatment outcomes in depression, PTSD and other neurological disorders. 

However, access to MEG is severely limited. Traditional MEG systems require expensive cryogenic cooling and magnetically shielded rooms, making them cost-prohibitive for widespread clinical use. Australia currently has only three MEG systems, used mainly for research, leaving a significant gap in national healthcare capability. 

Our quantum diamond-based MEG technology eliminates these barriers. It is the only solution that does not require cryogenic cooling or shielded environments, drastically reducing cost and complexity. This breakthrough opens the door to affordable, scalable and clinically deployable brain monitoring across hospitals, aged care and frontline clinics. 

This project represents a strategic investment opportunity for Australia to: 

• lead globally in the convergence of quantum technology and brain health
• address an urgent health challenge with transformative, non-invasive diagnostics
• drive innovation and economic growth across medical technology, quantum science, and advanced manufacturing sectors
• position Australia as an exporter of next-generation neurodiagnostic solutions. 

By supporting this initiative, we can reshape the future of brain health – improving lives, reducing health system costs, and building sovereign capability in one of the most critical and fastest-growing areas of global healthcare.

Lead applicant: The University of Queensland   

Melanoma is one of the deadliest skin cancers, with over 325,000 new cases diagnosed globally each year. Early and accurate detection is critical, but current methods rely heavily on visual inspection and biopsies, which can miss cancers or lead to unnecessary treatments. 

This team has developed a breakthrough imaging technology that uses the quantum properties of light to improve early detection of melanoma and other skin cancers. Built on next-generation terahertz (THz) light sources, the system harnesses quantum cascade lasers and laser feedback interferometry to detect tiny changes in the molecular structure of skin - well before symptoms are visible to the human eye. 

In a recent trial, our imaging system was tested on volunteers with suspicious skin lesions. It successfully distinguished between benign and cancerous tissue, including melanoma, basal cell carcinoma and squamous cell carcinoma without the need for surgery. This technology offers a safe, painless and non-invasive way to support doctors in making faster, more accurate decisions. 

What’s next? We're now focused on making the system smaller and more user-friendly – mounting it on a robotic arm for flexible scanning and expanding clinical trials to hospitals across Australia. We’re also partnering with experts in health data and automation to integrate results with existing medical systems and ensure smooth clinical use. 

This innovation opens the door to a powerful new kind of medical imaging – one that uses the precision of quantum physics to transform cancer detection. With continued development, it will help reduce healthcare costs, improve outcomes and save lives around the world.

Lead applicant: University of Technology Sydney

Current medical diagnostics can be slow, costly and often miss crucial molecular details. We are revolutionising this with a quantum-enhanced mid-infrared sensor, an Australian innovation poised to deliver rapid, comprehensive health insights from minute biological samples. 

Our technology uses ‘quantum light’ to read unique molecular fingerprints of proteins and fats, successfully advanced to Technology Readiness Level 5. It can distinguish diseased tissue from healthy and identify key biomarkers without chemical labels, uniquely translating this complex information for standard near-infrared cameras. This means faster, more detailed and potentially more affordable diagnostics. Imagine identifying risks for heart disease or cancer in minutes with a portable device. We’ve built the foundational platform and benchmarked its remarkable capabilities. 

Now, we're ready to develop a compact prototype for real-world diagnostic applications. This label-free quantum imaging technique is not just an improvement, it's a disruptive technology for the precision diagnostics of the 2030s and beyond. It has the potential to establish highly innovative business models and create new segments within the multi-billion dollar Life Science domain, a market experiencing annual growth over 10%. We seek partners and investment to advance this transformative Australian quantum technology to a market-ready product. Join us in making this leap towards faster, more precise diagnostics, ultimately improving patient outcomes globally through earlier, more informed interventions.

Lead applicant: Weburban Pty Ltd

We’re building the future of brain imaging – wearable, portable, and powered by quantum technology. 

Magnetoencephalography (MEG) is one of the most advanced tools for mapping brain activity, used in epilepsy diagnosis, neurosurgery and brain research. But today’s systems are large, cryogenic, and confined to a few research hospitals. They’re expensive, immobile, and exclude patients with implants or limited mobility. We’re changing that. 

Our project is developing a next-generation MEG system using optically pumped magnetometers (OPMs) – quantum sensors that work at room temperature and can be worn on the scalp. OPM-MEG removes the need for liquid helium, rigid helmets, and motionless patients. It’s a transformative leap: portable, patient-friendly, and scalable across Australia’s healthcare system. 

In stage 1, funded by the Department of Industry, Science and Resources, we proved this technology is feasible. We validated key components, simulated clinical use-cases, and built strong partnerships with CSIRO, MEG labs, hospitals, and global suppliers. We also identified clear demand from clinicians, researchers, and national imaging networks. Now, we’re ready to build and trial a working prototype.

With stage 2 support, we can deliver a breakthrough Australian innovation – positioning the country as a leader in quantum-enabled brain imaging and unlocking a new era in accessible neurotechnology.

Lead applicant: Innovations For Humanity Pty Ltd

Standard location finding capability in an autonomous system that uses GPS/GNSS can be denied by adversaries. Our RadiTrack technology enables an autonomous system to find its location without any GPS/GNSS from the start. Thanks to our unique MetaSteering antenna system, RadiTrack location finding capability cannot be denied by adversaries using high-power interferers. Likewise, equipped with narrow beam antenna systems with steerable beams, our SecuComm technology reduces the risks of eavesdropping and disabling a wireless communication link by adversaries using high-power interferers. In addition, SecuComm post-Quantum Cryptography supportive hardware further reduces the risks of eavesdropping, including quantum-enabled eavesdropping. Both technologies are useful for autonomous systems as well as non-autonomous systems.