The startup Luma AI has successfully raised $900 million in a funding round led by Saudi Arabia’s Humain company. This Series C round also saw participation from global technology and investment giants such as Amazon, AMD, Andreessen Horowitz, and Matrix Partners. Following the latest investments, the startup’s market valuation is reported to have exceeded $4 billion.
Luma AI, which works on multimodal artificial intelligence systems processing video, audio, and text data, will use the funds primarily to develop its generative video model, Ray3. With this move, the company aims to strengthen its position in competition with OpenAI’s Sora and Google’s Veo models.
The most strategic aspect of the deal relates to infrastructure. The startup will become a key client of Project Halo, a 2-gigawatt supercluster built by Humain in Saudi Arabia, which is set to be one of the largest AI computing centers in the world. This massive computing power will not only allow Luma AI to train global models but also contribute to the development of the Arabic-language AI ecosystem in the region.
