The race toward artificial general intelligence is straining traditional silicon systems. With U.S. data centers projected to consume up to 12% of national electricity by 2028. Amid these mounting energy demands, one startup is proposing a radical shift. Oxford-based Lumai, a spinout from the University of Oxford. Has raised over $10 million to bring optical computing for AI into the mainstream.
Founded in 2022 by a team of physicists and machine learning researchers. Lumai was created to break past the performance walls of silicon-based processors. Its solution lies in 3D optical computing, a method that uses light instead of electrons to perform the complex matrix operations at the heart of AI models like large language models (LLMs) and transformers.
This fresh funding round was led by Constructor Capital, with backing from existing investor IP Group and newcomers PhotonVentures, Journey Ventures, LIFTT, Qubits Ventures, State Farm Ventures, and TIS Inc. Lumai plans to use the investment to ramp up product development, double its team, and grow its U.S. presence.
At the heart of Lumai’s innovation is its ability to perform core AI arithmetic operations using light beams that pass through 3D space. Unlike conventional processors, which rely on energy-hungry silicon GPUs, Lumai’s system handles large-scale computations with significantly less power and greater speed. Its PCIe-compatible accelerators are designed to drop into existing data center infrastructure while slashing costs and energy consumption.
According to CEO Tim Weil, the current cost of running LLMs is simply unsustainable. “The future of AI demands radical breakthroughs in computing. Our optical computing design solves the scalability bottlenecks others couldn’t. We’re cutting power consumption by 90% while scaling AI to the next level.”
The company’s optical processors promise a 50x performance gain over silicon-only solutions, while using just 10% of the energy. This translates into massive savings on both operating and capital expenses, making AI more accessible and sustainable at scale.
Lumai’s team—led by co-founders Tim Weil, Xianxin Guo, Alex Lovsky, Thomas Barrett, and James Spall—blends deep expertise in photonics, hardware, and AI systems. Their joint mission is to deliver scalable, low-cost optical acceleration for real-world AI applications, from autonomous vehicles and drug discovery to cybersecurity and robotics.
The startup has already gained recognition for its breakthrough. Lumai won Best Overall Technology at the Global OCP Future Technologies Symposium and completed the Intel Ignite London accelerator. Co-founder Dr. Guo was selected for the Royal Academy of Engineering’s Shott Accelerator 2024, while Dr. Spall joined the Photonics 100 list for 2025.
The deeptech community has taken notice. Constructor Capital’s Dr. Serg Bell likens the shift to optical computing to the evolution of life itself, noting that the leap from carbon to photons may be necessary to power AGI. “Lumai’s photon-based computing model is the most promising route to AI scalability and sustainability,” he said.
IP Group’s Dr. Lee Thornton agrees. “They’ve solved the hardest problems in optical compute with a scalable, cost-effective solution. This is the future of AI infrastructure.” PhotonVentures’ Ewit Roos added, “Lumai isn’t just another compute startup—it’s reshaping the architecture of AI data centers worldwide.”
With increasing demand for faster, greener compute, Lumai is positioning itself at the center of the next AI wave. By offering a power-efficient platform that scales with the industry’s needs, Lumai is transforming what’s possible—and affordable—in the era of large-scale artificial intelligence.
