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Analysis & opinionMarch 6 2006

Need for speed now entails pushing the boundary of physics

Who needs science fiction when the real thing is much more amazing? In this month’s cover story “Quantum Leap, Trading Faster Than the Speed of Light”, technology editor Dan Barnes explores how the demands of the trading desk for capacity and speed are bumping up against the laws of physics.
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Many of the solutions being worked on in the lab are truly fantastic. They involve using pulses of light to transfer data through crystals and a process called quantum mechanical tunnelling, which allows chips to function at sizes of less than 10 nanometres (a nanometre is one billionth of a metre).

But traders’ hopes of remote working from a desert island may have been dashed. The competition for speed is now so intense that the physical proximity of the trading desk has become a factor in performance.

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