Celestial AI, a startup that seeks to use light to speed up data transfer inside servers, has raised $250 million to better position itself in a race to lower AI computing power requirements. Fidelity Management & Research Co. led the latest funding round, with participation from new investors including BlackRock Inc., Maverick Capital, Tiger Global Management and Lip-Bu Tan, according to the startup. Tan, whose name has been floated as the next Intel Corp. chief executive officer, also joined the board of directors. Existing investors including AMD Ventures, Koch Disruptive Technologies, Temasek and Porsche Automobil Holding SE participated in the round. Celestial AI’s valuation rose to more than $2.5 billion following the latest financing, according to its CEO David Lazovsky. The startup has raised more than $515 million since its founding in 2020. Santa Clara, California-based Celestial AI is facing other well-heeled rivals trying to harness light to speed up computing and slash artificial intelligence power use. Late last year, startup peer Lightmatter Inc. raised $400 million, reaching a $4.4 billion valuation, and Ayar Labs Inc. became a unicorn following a $155 million funding round.

Full report : Celestial AI, which aims to use light to speed up data transfer inside servers, raised $250 million led by Fidelity at a $2.5 billion valuation, taking its funding to $515 million.