Media release

From: Australian and New Zealand Optical Society (ANZOS)

Australasia missing a trick on core technologies

Australia and New Zealand are failing to convert research prowess in photonics and quantum technologies into commercial reality, with a new report (https://www.optics.org.au/2024-industry-report ) finding below average growth in the sector at the heart of our future technologies.

The Australian and New Zealand Optical Society (ANZOS) with support from SPIE, (the international society for optics and photonics), has just released an updated analysis of the AU/NZ photonics industry. It demonstrates a high degree of risk for both countries.

At the end of last year, our photonics and quantum technologies industry had a compound annual growth rate (CAGR) of 2.8% compared to a global average of 7.3% over the last decade, behind Asia, the UK and North America. Although the industry has grown to AU$6bn and now employs more than 34,000 people across Australasia, it is behind competitors.

ANZOS Vice-President, and EOS Chair in Laser Physics at the University of South Australia, David Lancaster says the findings are a wake-up call for Australia.

“It’s imperative that we capitalise on the considerable investment in photonic and quantum technologies made here in the last few years. Australia must demonstrate it can monetise that and keep pace with the rest of the world.”

Called a “critical” technology in the Australian Government’s National Quantum Strategy, the Federal Government has spent billions in recent years on new centres of quantum research excellence, as well as making a direct “anchor” investment in quantum computing company, PsiQuantum this April.

In addition to computing; the technologies span lasers, precision timing, measurement, navigation and secure communications. They’re used for MRI scans, managing the vulnerabilities of GPS, self-driving cars, measuring the ozone layer, underground sensing and a myriad of work in space. Some of the most powerful quantum applications are expected to come on stream in the next decade.

ANZOS President and Director of New Zealand’s Te Whai Ao— Dodd-Walls Centre, Frederique Vanholsbeeck, says the report is both disturbing and timely, coming as the New Zealand and Australian governments are examining the state of their universities and the science sector.

“The global value of photonics enabled products is projected to have exceeded US$2.39 trillion last year, so the opportunity is massive. We need New Zealand business, government and academia to collaborate in developing a strategy to leverage our photonics and quantum research excellence,” says the University of Auckland Professor.

With commentary on the key issues facing the photonics and quantum technologies industry (skills, infrastructure, tech transfer and commercialisation) the report includes contributions from Australia’s Chief Scientist, Dr. Cathy Foley, as well as wide ranging perspectives from the venture capital market through to researchers, policymakers and businesses in both countries.

SPIE Senior Director, Global Business Development, Dr. Andrew Brown, says the light enabled and quantum industry is at the core of modern technology and will remain so for the foreseeable future.

“Australasia needs a functioning, healthy innovation ecosystem in place for the industry to grow and reach its full potential,” says Dr. Brown.

ABOUT THIS REPORT: ANZOS is a non -profit organisation for the advancement of optics in Australia and New Zealand. This is the second report it has produced on the industry, after the first in 2020 together with SPIE and Te Whai Ao— Dodd Walls Centre for Photonic and Quantum Technologies. This year the Australian Research Council Centre of Excellence in Optical Microcombs for Breakthrough Science is also supporting the analysis.