ARQQ Arqit Quantum Inc

Babcock International Group (Babcock) has developed a technology with the capability of controlling single or entire fleets of vehicles in a defence environment.

Babcock demonstrated its SwarmCore technology, an advanced software system made up of multiple networks, at the UK Ministry of Defence’s BattleLab site last week in Dorset. The project was created in collaboration with Arqit, a leader in quantum-safe encryption and supported by the UK’s national innovation agency, Innovate UK.

Fundamentally, SwarmCore, which is ready to be tested in the military environment, can be used to control single or entire fleets of vehicles such as drones. It can be operated either fully autonomously or by remote human control at a safe distance from the battlefield.

One of the key benefits of SwarmCore and its integration with Arqit’s Symmetric Key Agreement Platform is its ability to receive and transmit data in a safe and secure way in a decentralised manner.

In a defence environment, this would mean if a single vehicle as part of a fleet was either hacked or attacked - the rest of the fleet could continue its mission instructions with no single asset ever being a point of failure.

With the integration of Arqit’s encryption technology, information carried on encrypted keys to and from assets will benefit from robust protection against cyber-attacks.

Babcock Chief Engineering and Technology Officer, Brad Yelland, said combining both autonomous systems with advanced software that can deal with potential cyber threats could be a game changer in the modern defence landscape.

“Disruptive technologies such as AI, machine learning and quantum - are playing an increasingly important role in the changing defence landscape and the rise in cyber threats.

“For our defence customers, developing technologies like this gives them more control in today’s complex defence environment, increased performance and security along with the ability for their teams to perform tasks remotely with solutions that are quicker and more cost effective to implement.”

Arqit Founder, Chairman and CEO, David Williams said: “This collaboration with Babcock has allowed us to deliver a ground-breaking technology that not only enhances security but can also boost operational agility, both in the present and in the foreseeable future.”

Notes to Editor:

About Babcock

Babcock is an international defence company operating in our focus countries of the UK, Australasia, Canada, France and South Africa, with exports to additional markets with potential to become focus countries. We meet our customers’ key requirements of affordability, availability, and capability by delivering engineering, support and critical systems to defence and civil markets.

About Arqit

Arqit Quantum Inc. (Nasdaq: ARQQ, ARQQW) (“Arqit”), a global leader in quantum-safe encryption, supplies a unique Symmetric Key Agreement Platform-as-a-Service which makes the communications links of any networked device, cloud machine or data at rest secure against both current and future forms of attack on encryption – even from a quantum computer. Arqit’s Symmetric Key Agreement Platform delivers a lightweight software agent that allows devices to create encryption keys locally in partnership with any number of other devices. The keys are computationally secure and operate over zero trust networks. It can create limitless volumes of keys with any group size and refresh rate and can regulate the secure entrance and exit of a device in a group. The agent is lightweight and will thus run on the smallest of end point devices. The Product sits within a growing portfolio of granted patents but also works in a standards compliant manner which does not oblige customers to make a disruptive rip and replace of their technology. Arqit was recently awarded the Innovation in Cyber award at the UK National Cyber Awards and Cyber Security Software Company of the Year Award at the UK Cyber Security Awards. www.arqit.uk

For further information contact:

Rita Congera Babcock International GroupEmail: rita.congera@babcockinternational.comwww.babcockinternational.com

Babcock team at Teneo: Tel: +44 (0)20 7353 4200 E:Babcock@teneo.com

Arqit:Media relations enquiries: Arqit: pr@arqit.uk Gateway: Arqit@Gateway-grp.com

Investor relations enquiries: Arqit: investorrelations@arqit.uk Gateway: Arqit@Gateway-grp.com

Caution About Forward-Looking StatementsThis communication includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, may be forward-looking statements. These forward-looking statements are based on Arqit’s expectations and beliefs concerning future events and involve risks and uncertainties that may cause actual results to differ materially from current expectations. These factors are difficult to predict accurately and may be beyond Arqit’s control. Forward-looking statements in this communication or elsewhere speak only as of the date made. New uncertainties and risks arise from time to time, and it is impossible for Arqit to predict these events or how they may affect it. Except as required by law, Arqit does not have any duty to, and does not intend to, update or revise the forward-looking statements in this communication or elsewhere after the date this communication is issued. In light of these risks and uncertainties, investors should keep in mind that results, events or developments discussed in any forward-looking statement made in this communication may not occur. Uncertainties and risk factors that could affect Arqit’s future performance and cause results to differ from the forward-looking statements in this release include, but are not limited to: (i) the outcome of any legal proceedings that may be instituted against the Arqit, (ii) the ability to maintain the listing of Arqit’s securities on a national securities exchange, (iii) changes in the competitive and regulated industries in which Arqit operates, variations in operating performance across competitors and changes in laws and regulations affecting Arqit’s business, (iv) the ability to implement business plans, forecasts, and other expectations, and identify and realise additional opportunities, (v) the potential inability of Arqit to successfully deliver its operational technology, (vi) the risk of interruption or failure of Arqit’s information technology and communications system, (vii) the enforceability of Arqit’s intellectual property, and (viii) other risks and uncertainties set forth in the sections entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in Arqit’s annual report on Form 20-F (the “Form 20-F”), filed with the U.S. Securities and Exchange Commission (the “SEC”) on 21 November 2023 and in subsequent filings with the SEC. While the list of factors discussed above and in the Form 20-F and other SEC filings are considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties. Unlisted factors may present significant additional obstacles to the realisation of forward-looking statements.