Lumosity Raises $32.5 Million For Brain Fitness Games

Lumosity, a company that creates online fitness games, has raised $32.5 million in Series C financing led by Menlo Ventures, with participation by existing investors FirstMark Capital, Harrison Metal and Norwest Venture Partners. This brings the company’s total funding to nearly $40 million.

Created by neuroscientists from Stanford University, Lumosity develops games and exercises that aim to improve core cognitive abilities and enable users to remember more, think faster and perform better at work and school.

On average, Lumosity users experienced a greater than 10% improvement in working memory and greater than 20% improvement in divided attention after 10 hours of playing the brain games.

In the last four years over 14 million people have joined Lumosity, with 8 million joining in the last year alone. The company has paying subscribers from over 180 countries, has expanded to mobile with an iPhone app, and revenues have grown 25% quarter-over-quarter since its launch in 2007.

Not too shabby for a gaming company. The company’s founder Kunal Sarkar tells us the new funding will be used towards mobile app development, new games, international expansion and sales and marketing.