Why Berkshire Hathaway's Two Best Quantum Computing Stocks Are Amazon and Alphabet

The question haunts many investors today: Should I invest in quantum computing? Yet here’s an irony worth pondering – Warren Buffett, legendary for his philosophy of only investing in businesses he truly understands, has quietly become a major stakeholder in what many consider to be among the best quantum computing stocks available. His Berkshire Hathaway portfolio now holds approximately $7.7 billion invested across two tech giants that are pioneering quantum technology. But these aren’t pure-play quantum companies. They’re Amazon and Alphabet – and understanding why these represent the best quantum computing stocks reveals much about intelligent investing in emerging technologies.

The Quantum Computing Paradox: How Buffett Invests Beyond His Comfort Zone

Renowned physicist Richard Feynman famously said, “No one understands quantum mechanics.” Buffett himself has long preached that investors should never put money into businesses they cannot comprehend. This creates a fascinating puzzle: How does Buffett reconcile his investment philosophy with positions in companies developing quantum systems?

The answer lies in recognizing that Amazon and Alphabet aren’t being held because of quantum computing – they’re held despite quantum computing being a major part of their innovation portfolios. In 2019, Berkshire initiated its Amazon position, drawn primarily by the e-commerce giant’s dominance and Amazon Web Services’ cloud computing supremacy. Then in 2025, Buffett corrected what he called his earlier mistake by acquiring over 17.8 million shares of Alphabet, recognizing Google’s unparalleled position in advertising and digital ecosystems.

Yet the quantum computing component within these investments shouldn’t be dismissed. Amazon Web Services offers Amazon Braket, enabling researchers to test quantum algorithms and hardware in the cloud. The company recently introduced its Ocelot quantum chip, capable of reducing quantum errors by up to 90% – a critical breakthrough. Meanwhile, Alphabet’s Google Quantum AI achieved headline-grabbing milestones: in 2019, they performed calculations in 200 seconds that traditional supercomputers would require 10,000 years to complete. The team subsequently demonstrated the first functional logical qubit prototype in 2023.

Amazon and Alphabet: The Best Quantum Computing Stocks Beyond Their Core Businesses

What makes these the best quantum computing stocks isn’t their quantum initiatives alone – it’s the diversified strength supporting those initiatives. Amazon’s quantum ambitions sit within a $7+ trillion e-commerce and cloud computing ecosystem. Buffett recognized then, and remains convinced now, that AWS will remain the dominant cloud provider for years to come. As quantum computing applications mature, Amazon’s established position ensures it captures significant value from enterprise adoption.

Alphabet operates from similar structural advantages. While roughly 72% of revenue flows from Google’s advertising platforms across Search, YouTube, and its ad network, the company has built substantial parallel revenue streams. Google Cloud is accelerating growth. Waymo, Alphabet’s autonomous vehicle unit, represents another frontier. Google Fiber provides high-speed internet infrastructure. These diversified revenue streams mean that even if quantum computing remains niche for years, neither company’s financial health depends on breakthrough quantum breakthroughs happening on any particular timeline.

The quantum computing divisions within both companies represent long-term R&D bets – expensive, speculative efforts that most public companies wouldn’t dare fund to this degree. Yet for Alphabet and Amazon, these programs consume only a fraction of corporate resources while positioning both companies at the frontier of whatever quantum-enabled applications eventually emerge.

Why These Two Remain Top Quantum Computing Stocks for Investors

For investors without Buffett’s market position or decades of business analysis experience, the case for these best quantum computing stocks becomes even clearer when viewed through contemporary lenses. Artificial intelligence represents an enormous tailwind for both AWS and Google Cloud. As agentic AI adoption accelerates, both companies possess the infrastructure, talent, and capital to serve as primary platforms. The robotaxi market presents another shared opportunity – both Amazon and Google possess investments and strategic positioning in autonomous vehicle technology that could generate substantial returns.

Quantum computing, when it transitions from laboratory achievement to practical application, will require robust cloud platforms for deployment and computing power. Neither pure-play quantum companies like IonQ, D-Wave Quantum, nor Rigetti Computing possess the established infrastructure to dominate quantum-as-a-service delivery. Amazon and Alphabet do. This structural advantage – offering quantum capabilities within existing cloud ecosystems – may ultimately prove more valuable than owning quantum technology itself.

The best quantum computing stocks, then, aren’t necessarily companies that sound the most futuristic. They’re companies whose existing business models are powerful enough to absorb experimental quantum divisions, whose platforms will likely host quantum applications, and whose financial strength permits them to fund quantum research while remaining profitable across other business lines. By that measure, Berkshire Hathaway’s $7.7 billion allocation to Amazon and Alphabet represents rational positioning in quantum computing’s future – not despite Buffett’s investment philosophy, but perfectly aligned with it.