SK Telecom has committed $65m to ID Quantique, a quantum cryptography technology spinout from University of Geneva, adding to $2m it had previously provided.

ID Quantique (IDQ), a Switzerland-based quantum cryptography spinout from University of Geneva, secured a $65m funding commitment on Monday from telecoms firm SK Telecom.

SK Telecom did not disclose details on when it expects the deal to close or how large its stake in IDQ will be, though online publication ZDNet claimed the corporate will own a majority share of slightly more than 50%.

Founded in 2001, ID Quantique has developed a random number generator that relies on quantum physics. Random number generators form a basic part of cryptography and are used to create keys that cannot be predicted by an attacker.

More complex generators offer more security as they require more computing power to predict – the software equivalent of flipping a coin or rolling a die, where the former’s outcome is easier to guess correctly.

IDQ has also developed a range of optical instrumentation products, including single photon counting technology that has applications in a wide range of fields from particle physics to communications and biological imaging to metrology.

The spinout emerged out of University of Geneva’s Group of Applied Physics and was co-founded by Grégoire Ribordy, who acts as IDQ’s chief executive, and Nicolas Gisin, who is a board director.

SK Telecom expects IDQ’s technology to become particularly relevant in the mobile telecoms space as 5G technology is introduced. The corporate anticipates mobile communication usage to increase significantly, leading to a rise in demand and need for encryption.

The two companies will also work together on further developing IDQ’s core technologies.

In 2016, SK Telecom already put $2m into IDQ as part of a $4m funding round, though other investors were not named. Following that investment, the two collaborated on the development of what they said was the world’s smallest quantum random number generator.

Venture fund QWave Capital previously supplied $4.5m in 2013, after VC fund I2I provided €1m ($1.2m) in 2003.

Ribordy said: “Quantum communications technologies will play a significant role in securing our data and communications, both in backbone networks and at the edge, in an era where the quantum computer will render vulnerable much of today’s cryptography.

“Partnering with SK Telecom will allow us to accelerate development of leading-edge solutions to meet these market needs.”