The investment was led by CIENA Corporation (NASDAQ: CIEN) and venture firm DCM-Doll Capital Management apart from current investors like DynaFund Ventures, Vanguard Ventures, Morgan Stanley Venture Partners, Scientific-Atlanta, Inc. and Pyramid Technology Ventures.

This latest round of funding is expected to carry the company into profitability by mid-2004. “We have had tremendous success in delivering quality optical networking solutions to telecommunications carriers and cable service providers worldwide,” said Alex Naqvi, president and CEO of Luminous Networks. “The continued support from our existing investors along with a strategic investment from our partner, CIENA, is a testament to the company’s strength. This latest investment will allow us to continue to meet the needs of our customers worldwide and expand our leadership in the marketplace.”

“Luminous has demonstrated its ability to gain new customers each quarter and form significant strategic partnerships that will help grow the business. This latest round reinforces the investment community’s belief that exciting growth opportunities are ahead for the company,” said Eric Gonzales, Partner at DCM-Doll Capital Management. Gonzales has joined Luminous’ Board of Directors as a result of the financing.

Luminous is selling and delivering products for revenue to major telecommunications carriers and cable service providers, in the U.S., China and other international markets.

The company has sales offices in the U.S., Europe and China, and sells its products through a network of resellers and distributors in Asia-Pacific and Europe.