December 10, 2025
Sudiptaa Paul Choudhury

Quantum Key Distribution (QKD) Explained: The Ultimate Guide to Unhackable Encryption for Defense & Enterprise

In an era where quantum computers will break traditional encryption, organisations face an unprecedented cybersecurity challenge. The solution is Quantum Key Distribution (QKD) – the only encryption method that uses the laws of quantum physics to guarantee unconditional security. This informative and comprehensive blog explores everything you need to know about QKD, from fundamental principles to real-world deployments.

What is Quantum Key Distribution (QKD)?

Quantum Key Distribution (QKD) is a radical cryptographic technique that leverages the principles of quantum mechanics to generate and distribute encryption keys with absolute security. Unlike traditional encryption methods that rely on mathematical complexity, QKD's security is guaranteed by the fundamental laws of physics or photonics.

At its core, QKD uses quantum properties of photons (light particles, which are a phenomenon of nature) to generate symmetric encryption keys simultaneously at both ends of a communication channel without ever transmitting the key itself.  

The game-changing feature? Any attempt to interrupt or measure these quantum states inevitably disturbs them, immediately alerting both parties to the presence of an eavesdropper/ adversaries.

Why is QKD Critical Now? The Quantum Threat

The Quantum Threat is Real. According to the Hudson Institute, a quantum attack could result in over $3 trillion in damage to the US economy alone. Quantum computers, when sufficiently powerful, will break RSA, ECC (expected in 2026 or by 2028-2030), and other public-key cryptosystems that secure today's digital infrastructure.

Adversaries are already engaging in "harvest now, decrypt later" attacks – collecting encrypted data today to decrypt once quantum computers become available. QKD provides the answer: Future-proof encryption that remains secure even against quantum computer attacks. It's not just quantum-resistant – it's quantum-proof.

How Does Quantum Key Distribution Work?

QKD operates on two fundamental quantum principles:

  1. Quantum Superposition: Quantum particles exist in multiple states simultaneously until measured
  2. Heisenberg Uncertainty Principle: Measuring a quantum state inevitably disturbs it, making eavesdropping detectable

The QKD Process:

  1. ‍Step 1 – Quantum State Transmission: The sender (Alice) encodes arbitrary bits into quantum states of photons and transmits them through a quantum channel (usually fibre optic cable) to the receiver (Bob). ‍
  2. Step 2 – Measurement: Bob determines the collected photons using randomly chosen bases. Because of quantum mechanics, only measurements using the correct basis yield the original bit value.
  3. Step 3 – Basis Reconciliation: Alice and Bob communicate over a classical channel to compare the measurement bases used, keeping only the bits where their bases matched.
  4. Step 4 – Error Detection: They check for errors indicating eavesdropping. If secure, they apply privacy expansion to produce the final encryption key.

Types of QKD: CV-QKD vs DV-QKD

Discrete Variable QKD (DV-QKD)

DV-QKD encodes information in discrete quantum states of single photons, such as polarisation or phase. It uses single-photon detectors, has proven technology with extensive real-world deployments, and achieves a range up to 150-200 km point-to-point. Best for high-security applications in defence, government, and critical infrastructure.

Continuous Variable QKD (CV-QKD)

CV-QKD encodes information in continuous properties of electromagnetic fields using coherent light states. It uses standard telecom components, offers higher key generation rates at shorter distances (50-80 km), and is more cost-effective. Best for last-mile connectivity, data centre interconnections, and enterprise deployments.

Comparison Table

Parameter DV-QKD CV-QKD
Range 150-200 km point-to-point 50–80km
Detection Method Single photon detectors Homodyne/heterodyne detectors
Technology Maturity Proven, extensively field-tested Emerging, fewer deployments
Hardware Cost Higher CAPEX Lower CAPEX
Key Rate Kilobits per second (Kbps) Megabits per second (Mbps) at short range
Best Use Cases Defence, government, critical infrastructure, long-distance networks Data centre links, last-mile, campus networks
Security Level Highest - proven by physics High - based on quantum physics

QNu Labs' Game-Changing Differentiators

Indigenous, Sovereign Quantum Technology – Made in India, Built for the World

QNu Labs embodies India's Atmanirbhar Bharat (Self-Reliant India) vision with completely indigenous quantum security technology. Designed, developed, manufactured, and certified entirely in India. Founded in 2016 at the IIT Madras Research Park. Supported by India's National Quantum Mission. Positioning India as a global quantum technology powerhouse with complete technology sovereignty.

India's Largest Quantum Security IP Portfolio

11 granted patents (including 3 US patents) with 15 patents pending globally. Patents cover QKD hardware, QRNG technology, hybrid security architectures, and quantum network topologies. This is India's largest quantum security IP portfolio.

Industry-Leading 150-200 KM Point-to-Point Range

While competitors globally achieve 80-100 KM spacing between QKD nodes, QNu's Armos™ QKD system delivers 150-200 KM point-to-point range – nearly double the industry standard. This breakthrough means a 60% infrastructure reduction for long-distance networks. Example: A 500 KM network requires only 4 nodes (QNu) vs 10 nodes (global standard).

Comprehensive QKD Product Portfolio

Armos™ QKD System: Production-ready DV-QKD hardware with 150-200 km range, multiple network topologies (point-to-point, trusted node, hub & spoke), and seamless integration.  

QNu’s Tropos™ QRNG (Quantum Random Number Generator) provides true quantum randomness, the foundation of all cryptography and integrates with QKD – where keys are generated from this true quantum randomness.

ChaQra Architecture: Hub-and-spoke configuration detailed in Nature's Scientific Reports (July 2024), enabling scalable quantum networks with SDN switching.

QNu Labs' Real-World Deployments: 30+ Global Installations

In November 2025, QNu Labs successfully demonstrated India's first and one of the world's most extensive QKD networks spanning over 500 Kilometres, which was announced at ESTIC 2025 by the Hon’ble Union Minister of India, the Principal Scientific Adviser to the PM’s Office, DST, and many other dignitaries. This has been deployed over existing optical fibre infrastructure with 60% infrastructure efficiency compared to global standards.

Check QKDN in action

Various Engagements, Deployments with Defence, Government and Enterprises

  • Indian Navy: 25 QKD systems delivered in 2024
  • Indian Army: Large-scale quantum-secure wireline network order received and deployed
  • International: Deployment in the Middle East; ongoing engagements with the USA, Far East, Australia, and other countries, securing government and defence clients
  • Enterprise: Successful PoCs, engagements, deployments with Fortune 500 healthcare, global banks, telecom giants, and other critical sectors

QKD Applications Across Industries

  • Defence & Military: Securing battlefield communications and classified data
  • Government: Critical infrastructure and diplomatic communications
  • Enterprise: Data centre security and financial transactions
  • Telecommunications: 5G network infrastructure security

Why QNu Labs for Quantum Security?

  • Proven Track Record: 30+ global deployments Ranked 2nd globally
  • Sovereign. Indigenous Technology -From design to commercialisation, all done in India.  
  • Globally Tested and Certified by many national  (TEC) and global bodies (TUV, European Labs)
  • Leader in QKD (source: Markets and Markets) and PQC in the Enterprise Segment (source: CBInsights)
  • Compliant with Global Standards: NIST, USA, FIPS (USA), ETSI (European Quantum Communication Standards), India, Singapore Quantum Safe Communication Standards, Middle East, Far East and more
  • Awarded & Recognised on many platforms: Forbes, Inc42, Quantum Insider, Ministry of Defence, India, DST/NQM, ET Now, CNBCTV 18, DSCI, NASSCOM Deeptech Club, Dutch Quantum Analyst House and more
  • Innovation & IP: 11 patents granted, 15 pending
  • Wide Interoperability & Strategic Partnerships (integrates with global players, such as Cisco, Nokia, Sterlite, Viavi, AWS, Fortinet, Thales, Mphasis, BSNL, Intel, NetApp, Likha Wireless)
  • Industry-Leading: 150-200 KM range. 60% infrastructure reduction
  • Availability on GeM: Products on the Government e-Marketplace (GeM)

Frequently asked questions

What is the difference between QKD and quantum cryptography?
How far can QKD signals travel?
Is QKD expensive to deploy?
Can QKD work over existing fibre networks?
What happens if QKD detects an eavesdropper?
How does QKD integrate with existing encryption systems?
Can quantum computers break QKD?
What industries benefit most from QKD deployment?
How long does QKD deployment take?
What is QNu's ChaQra architecture?

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