PicoJool Emerges From Stealth With $12 Million to Solve the Bandwidth Gulf of AI Data Centers

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PALO ALTO, Calif.--(BUSINESS WIRE)--Nov 18, 2025--

PicoJool, a pioneer in optical connectivity, today emerged from stealth with $12 Million in funding led by Playground Global. PicoJool has developed a fundamentally new class of pixel-level photonics that make optical links as inexpensive, compact, and manufacturable as traditional copper connections—opening the door to next-generation computing connected by light.

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PicoJool emerged from stealth and announced the development of a fundamentally new class of pixel-level photonics that make optical connectivity as inexpensive, compact, and manufacturable as copper. Shown here, the PicoJool Terapod is a VCSEL-based parallel optical link compatible with CPO, NPO, and front panel pluggable form factors. It can be configured for 16, 32, or 64 lanes from 1.6T to 6.4T of data bandwidth.

The company is building the world's highest bandwidth Vertical Cavity Surface Emitting Lasers (VCSELs) with unique parallel optics and packaging innovations, delivering high performance at a low cost to compete directly with copper at scale. Picojool integrates its optical chips into massively parallel pluggable modules, with applications specifically targeting large-scale AI systems.

"The relentless demand for bandwidth in hyperscale and AI data centers requires a fundamental shift in connectivity, moving beyond the physical and economic constraints of copper," said Al Yuen, founder and CEO of PicoJool. "This funding will accelerate our deployment of high-reliability, cost-effective VCSEL technology across external foundries."

“Along with many others, I have been predicting the move from copper to optical for over a decade. AI-scale computing is the driving force for that conversion to happen now,” said Pat Gelsinger, General Partner at Playground Global. “PicoJool arrives at the precise moment the industry needs it most, where the demand for bandwidth meets the need for efficiency. By making high-bandwidth optical connectivity cost-competitive and manufacturable at scale, PicoJool is collapsing the cost and complexity barriers that have held photonics back for decades. This is exactly the kind of foundational shift we invest in at Playground.”

The PicoJool team brings decades of photonics experience. Founder Al Yuen holds more than 50 patents in the photonics space, including the invention of connectivity technologies that form the backbone of the Internet: Active Optical Cables (AOC) and the QSFP transceiver. The depth of their technical expertise and the breadth of their professional network across the semiconductor supply chain uniquely positions PicoJool to design, deliver, and scale massively parallel optical solutions for 800G, 1.6T, and beyond.

PicoJool VCSELs are expertly designed to enable longer reach and greater network flexibility for the largest AI data centers. The company is headquartered in Palo Alto, California, with R&D and Operations in both the U.S. and Taiwan. The investment will be used to scale manufacturing capabilities and deepen R&D efforts to meet the exploding market need for AI Connectivity, including extending its low-cost VCSEL technology into 400G/lane systems and beyond.

About PicoJool Inc.

PicoJool Inc. is developing next-generation optical chips and modules for high-bandwidth, low-cost connectivity in hyperscale AI data centers. Founded by Al Yuen, who has foundational expertise in data center optical networking systems, PicoJool is redefining optical communication at the semiconductor to transceiver level. Learn more at https://picojool.com/.

About Playground Global

Playground Global is a deep tech venture capital firm with $1.2 billion under management, backing early-stage startups tackling foundational challenges in next-generation compute, automation, energy transition, and engineered biology. Founded in 2015 and based in Palo Alto, Playground partners closely with technical and scientific founders to turn breakthrough ideas into enduring companies. The firm’s portfolio includes PsiQuantum, MosaicML (acquired by Databricks), d-Matrix, Agility Robotics, Ideon, Ultima Genomics, Manifold Bio, and Strand Therapeutics. Learn more at www.playground.vc.

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SOURCE: PicoJool

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PUB: 11/18/2025 12:00 AM/DISC: 11/18/2025 12:00 AM

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