LLUMO AI Secures $1M Seed Funding Led by SenseAI Ventures

LLUMO AI, a company focused on optimizing Generative AI, has announced it has raised $1 million (₹8 crore) in seed funding. The round was led by SenseAI Ventures, with additional investment from India Quotient, AumVC, Venture Catalyst, the IIM Indore Alumni Angel fund, and US-based angel investors. The funding will help LLUMO AI tackle the high costs and performance issues businesses face when integrating Generative AI and Large Language Models (LLMs) into their services.

Businesses often struggle with evaluating LLM performance in real-world scenarios and the escalating costs associated with LLM usage, especially when using Retrieval-Augmented Generation (RAG) pipelines, which can increase prompt token size significantly. After identifying these issues with their previous product, Instaminutes, the LLUMO team found that many AI companies faced similar challenges. In response, LLUMO AI developed a platform designed to reduce Generative AI costs by up to 80% and provide deeper insights into LLM performance.

LLUMO AI’s solution features two proprietary small LLMs trained on extensive data. The first model compresses prompts efficiently, lowering costs while maintaining quality. The second, Eval-LM, evaluates LLM-generated output without needing ground truth data. These innovations allow businesses to optimize their LLM use, iterate more quickly, and grow without excessive expenses.

The seed funding will facilitate LLUMO AI’s entry into the US market and support the development of a robust enterprise platform that integrates with existing AI workflows.

Shivam Gupta, Founder of LLUMO AI, stated, “Our goal with LLUMO AI is to democratize Generative AI access and help businesses fully leverage its potential. This funding brings us closer to our vision of making Generative AI both accessible and impactful for businesses globally.”

Rahul Agarwalla, General Partner at SenseAI Ventures, highlighted the alignment between LLUMO AI’s approach and SenseAI’s investment focus: “LLUMO AI’s solutions address the key issues of cost and quality in LLMs, which aligns with our investment strategy. We support innovators like LLUMO AI who develop groundbreaking technology to tackle significant AI challenges.”

With strong investor backing and a focus on the US market, LLUMO AI is set to become a major player in the AI sector, helping businesses enhance innovation, improve customer experiences, and achieve sustainable growth.