Teramount raises $50M to address growing demand for AI infrastructure optical connectivity

Koch Disruptive Technologies (KDT) leads Series A to accelerate Teramount’s transition to high-volume production, with the participation of AMD Ventures, Hitachi Ventures, Samsung Catalyst Fund, Wistron, Grove Ventures and others.

Jerusalem, Israel – July 29, 2025—Teramount, the leader in scalable fiber-to-chip interconnect solutions for AI, data centers and advanced computing, today announced it has raised $50 million in financing led by new investor Koch Disruptive Technologies (KDT). Existing investors Grove Ventures and several new strategic investors, including AMD Ventures, Hitachi Ventures, Samsung Catalyst Fund and Wistron, joined the round.

AI is driving exponential infrastructure growth, pushing the limits of data movement speed and efficiency. To meet these escalating performance and power demands, the industry must adopt advanced optical interconnects to pass data between compute and networking components. Teramount makes this possible with their TeraVerse™ solution: a detachable, serviceable connector that links optical fibers coming from outside the rack to the silicon photonics chips inside Co-Packaged Optics (CPO) systems.

The confidence in Teramount demonstrated by this round is a result of two factors:

• Teramount is rapidly emerging as the de facto industry standard for optical fiber to silicon interconnect solutions, partnering with leading companies in the ecosystem, including foundries, silicon and photonics companies, and outsourced assembly and test (OSAT) vendors.
• The explosive growth in demand for higher performance in AI infrastructure makes optical connectivity an undisputed necessity.

“This investment, which brings together strong financial and strategic investors, representing important parts of the optical connectivity ecosystem, is a testament to the potential of our technology in AI infrastructure and other high-performance applications,” said Hesham Taha, CEO and co-founder of Teramount. “We are grateful to our new and existing investors for their support.”

“Optical interconnects are critical components of the future of AI infrastructure, and Teramount is poised to be a leading supplier of these solutions,” said Isaac Sigron, managing director at KDT Israel, who will join Teramount’s board of directors. “We are very impressed with the position Teramount has established in the market and its partnerships with key industry players.”

The funding will enable Teramount to grow its team and scale to volume production, ahead of the market adoption of CPO (co-packaged optics).

About Teramount

Teramount is the leader in scalable optical connectivity for AI, data centers, high-performance computing, communications networks, and sensors. The company’s patented PhotonicPlug™ and PhotonicBump™ technologies enable seamless fiber-to-chip integration. The company partners with leading ecosystem players to deliver high-volume manufacturing capabilities required for tomorrow’s optical connectivity demands. See more at www.teramount.com.

About Koch Disruptive Technologies (KDT)

Koch Disruptive Technologies is a venture capital firm partnering with principled entrepreneurs who are building high-growth companies that have the potential to transform industries. KDT has a flexible mandate to make investments at any stage of a company’s life cycle, from seed to late-stage growth. KDT is a Koch company, one of the largest privately held companies in the world, with annual revenues that have exceeded $125 billion and operations in more than 50 countries. KDT helps its partners unlock their full potential by bringing them Koch’s capabilities and network, structuring unique capital solutions, and embracing a long-term mutual benefit mindset. For more information, visit www.kochdisruptivetechnologies.com

Credit: Perry Mendelboim