LONDON — British artificial intelligence startup Olix has reached a $3.3 billion valuation after raising $312 million in fresh investment, marking one of the UK's largest AI funding rounds of the year.

Founded in London in 2024, the semiconductor company is developing a new generation of AI inference chips designed to improve the speed and efficiency of artificial intelligence systems. Unlike conventional chip designs, Olix is using optical interconnect technology, replacing traditional copper connections with laser-based communication to increase performance and reduce bottlenecks.

The investment attracted major backers, including Arm Holdings, Netflix co-founder Reed Hastings and the UK government's Sovereign AI Fund, highlighting growing confidence in Britain's domestic AI hardware sector. The company plans to launch its first chip platform, DX-1, next year while expanding operations across the UK, North America and Canada.

Industry analysts say the funding strengthens Britain's ambition to become a global centre for advanced semiconductor development. As demand for AI computing power continues to surge, innovative chipmakers are increasingly seen as critical to supporting future applications in healthcare, finance, cybersecurity and scientific research.

The latest investment also complements the UK's wider strategy to build sovereign AI capabilities, with continued government backing for advanced chip design and high-performance computing infrastructure. For Britain's technology ecosystem, the success of Olix signals growing international confidence in home-grown innovation and the country's expanding AI industry.