US-based wifi technology startup Luma has secured $12.5m in a series A round led by venture capital firm Accel Partners that included a “significant investment” from e-commerce firm Amazon’s Alexa Fund.
The round also included Felicis Ventures, Base Ventures, BIP Capital, Relay Ventures, Webb Investment Network, 500 Startups and David Dorman, the former CEO of telecommunications company AT&T.
Founded in 2014, Luma claims its Surround WiFi technology, which incorporates cybersecurity and parental controls, is the highest performing home wifi system available. It has received 60,000 pre-orders and channel partner orders, and the systems are due to start shipping in June this year.
Steve Rabuchin, vice-president of Amazon Alexa, said: “Innovation in the smart home space is taking off and has the potential to make our everyday lives easier and more serendipitous than ever.
“We are investing in Luma through the Alexa Fund because we are excited about Luma’s vision to not only bring better and faster wifi to consumers but to innovate on what is possible with internet of things and voice technologies.”
The series A funding, which follows a $2.5m seed round in November 2015 featuring Felicis, Base, BIP, Relay and Webb Investment Network, will be spent on meeting demand for Surround Wifi, as well as international growth, research and development.
– Photo courtesy of Luma