As quantum computing continues to evolve, the security of existing cryptographic systems faces an unprecedented threat. Post-quantum encryption (PQE) is no longer a distant goal; it is a critical, urgent priority. Marion Square has been actively tracking the federal government’s transition to PQE, working closely with both technology companies and government agencies to ensure a smooth and secure transition.

Federal mandates such as NSM-10 and OMB 23-02 have set the course for agencies to begin their PQE journeys. The stakes are high, and failure to meet these mandates could expose critical systems to quantum-enabled adversaries. According to the recent OMB report to Congress, the government is expected to spend approximately $1 billion annually over the next decade on this transition, though many experts predict the true cost could be much higher.

Marion Square is actively working with our partners and clients to understand and map the requirements Federal Agencies have for transitioning to Post Quantum Encryption (PQE). For PQE technology companies, this transition presents a unique opportunity: a growing market with billions in potential federal contracts. 

With the recent release of the NIST Post Quantum Encryption (PQE) standards (NIST Releases First 3 Finalized Post-Quantum Encryption Standards | NIST) we at Marion Square anticipate there will be a focus from Federal Agencies in FY 25 to become compliant with the White House Executive Order and National Security Memo for Post Quantum Cryptography.