VERBUND X Ventures invests as lead investor in Vienna-based deep tech scale-up zerothird

A patented and integrated platform for quantum-safe communication to protect critical infrastructure

VERBUND X Ventures, VERBUND’s corporate venture capital unit, is the lead investor in the current Seed+ financing round of Vienna-based scale-up zerothird. Sparring Capital, one of the two lead investors in the seed round, is again on board; the previous seed round was led jointly by Sparring Capital and Findus. Founded in 2023, the deep tech company develops solutions for quantum-based key distribution based on quantum entanglement (eQKD). In addition to VERBUND X Ventures, other well-known investors are taking part in the financing round, including Sparring Capital and KGAL.

Quantum computers require new security standards for critical infrastructure

As quantum computing advances, the security risks associated with existing encryption methods grow. While a practical, widely usable quantum computer is not yet available, in future it is likely that high-performance quantum computers could break established encryption methods such as RSA-2048. Attackers are already storing sensitive data in order to decrypt it as soon as powerful quantum computers become available (HNDL – harvest now, decrypt later). zerothird is addressing this threat with a technology based on physical principles that secures the key exchange against attacks by quantum computers.

Technological progress with quantum entanglement “Made in Austria”

The team at zerothird is part of the renowned Institute for Quantum Optics and Quantum Information of Vienna (IQOQI – Vienna), where Nobel prize winner Prof. Zeilinger has laid the foundations for the current advances in entanglement-based encryption. zerothird’s patented technology is based on years of research and guarantees a higher level of security than conventional QKD approaches, as well as opening new applications in real critical infrastructure networks.

Michael Strugl, CEO of VERBUND AG, emphasises the relevance of the investment: “zerothird is an investment in a key technology for European infrastructure security. As an operator of critical infrastructure, it is essential for VERBUND to lead the way in quantum-safe data transmission. This investment signals our vision and commitment to high-tech innovations in Austria.”

The co-CEOs of zerothird, Felix Tiefenbacher and Rupert Ursin, welcome VERBUND X Ventures’ participation in the current financing round. “VERBUND X Ventures is a strong lead investor for our current Seed+ round, offering an optimal combination of strategic relevance, understanding of infrastructure, and a long-term perspective. At the same time, we are delighted that our existing investors have once again placed their trust in us. The fact that investors such as Sparring Capital have been with us since the seed round and, together with new partners, are enabling our next growth step attests to the technological substance and market potential of zerothird. Our technology is designed to move quantum-safe communication from research into operational use – precisely where safety will be key in the future.”

Targeted expansion of the security and digital transformation portfolio

By investing in zerothird, VERBUND X Ventures is specifically expanding its portfolio to include cybersecurity for critical infrastructure. In addition to VERBUND X Ventures, Sparring Capital, the joint lead investor in the previous seed round, and the international investment and asset manager KGAL are also taking part in the financing round. Together, the investors are helping to further develop and scale zerothird’s quantum-safe communication technology.

Franz Zöchbauer, Managing Director of VERBUND X, emphasises the potential: “We see zerothird as a team with outstanding technological excellence and strong commercial expertise. The fact that we are leading this financing round as the lead investor of the Seed+ round together with strong existing and new investors underscores our clear commitment to strengthening technological sovereignty in Europe.”

The scale-up already has considerable traction: in addition to initial sales in recent years, the solution has recently been proven in a long-term commercial test at Erste Bank. In 2026, as part of the EU QUAPITAL consortium, zerothird will establish the first quantum-proof link between Vienna and Frankfurt am Main, setting a milestone for secure communication in Europe and underscoring the technology’s feasibility.