Lumai, an AI accelerator startup spun out of the University of Oxford, has secured over $10 million in funding to enhance its optical computing technology, which aims to reduce costs and improve performance in AI data centers.

The funding round, led by Constructor Capital, included investments from existing backers like IP Group and new investors such as PhotonVentures and Journey Ventures, reflecting strong confidence in Lumai's innovative technology.

Lumai's technology has already garnered recognition, winning the 'Best Overall Technology' award at the Global OCP Future Technologies Symposium and being selected for Intel Ignite’s London program.

As AI data centers in the U.S. are expected to triple their power usage by 2028, potentially consuming up to 12% of the nation's electricity, Lumai's advancements come at a crucial time.

Lumai's technology is projected to achieve 50 times the performance of current silicon-only accelerators while consuming only 10% of the power required for AI tasks in data centers.

With the new investment, Lumai plans to double its workforce, advance product development, and expand its operations in the United States, aiming for significant performance improvements over silicon-based competitors.

The company's technology addresses scalability challenges in optical computing, allowing for faster processing of AI's core arithmetic operations within optical beams in 3D space.

This significant reduction in power consumption will lower both capital costs and total cost of ownership for AI implementations, making Lumai's technology more attractive to potential customers.

Investors have expressed confidence in Lumai's potential, with notable endorsements from industry leaders highlighting the shift toward more energy-efficient technologies for AI development.

CEO Tim Weil emphasized the necessity for radical breakthroughs in computing to support sustainable AI development, underscoring Lumai's potential to significantly lower costs and power consumption.

The success of Lumai represents a pivotal moment in the AI race, highlighting the need for innovative infrastructure to support advanced AI systems.

Dr. Xianxin Guo, Lumai’s head of research, was accepted into the Royal Academy of Engineering's Shott Accelerator 2024 program, while co-founder Dr. James Spall was recognized in the Photonics 100 list for 2025.