Magic AI Raises $11M to Scale Fitness Mirror in the US

Years after Lululemon pulled the plug on Mirror, the London startup plans to win over U.S. consumers with AI form correction and a cheaper alternative to personal training

Magic AI, a startup behind an AI-powered fitness mirror, has raised $11 million to expand in the United States, stepping into a market where Lululemon lost hundreds of millions of dollars.

Beringea and IW Capital co-led the Series B round, with Active Partners, PXN Group, Accelerate Ventures, Doorway and Ventures Together joining, bringing Magic AI’s total funding to about $20 million. 

Among Magic AI’s shareholders is a familiar face from the connected fitness boom: Kevin Cornils, Peloton’s former chief commercial officer, The Times reported. Magic AI plans to put part of the funding into its software, with the goal of understanding how they progress over time.

“I believe it’s one of the largest consumer AI deals in the U.K. this year,” Magic AI co-founder and CEO Varun Bhanot wrote on LinkedIn, adding that the U.S. will become most of Magic AI’s business next year. The company brought in £10.7 million in revenue last year, or about $14.3 million, according to The Times.

“This is the backing to scale up there as our community surpasses 20,000+ members across all 50 states,” he added.

It wouldn’t be the first time the U.S. has seen a fitness mirror.

Lululemon paid $500 million for the connected fitness company Mirror in 2020, at the height of the pandemic home-workout boom. By 2023, it had taken a $443 million impairment charge, reportedly failed to find a buyer even at a steep discount, laid off about 100 employees in its Lululemon Studio division and discontinued the device.

Forme, which pairs a smart mirror with personal training, went public in April 2023 through a $12 million IPO and saw its shares fall 67% within six months. Its parent, Interactive Strength, has become an acquirer of premium fitness brands, selling Forme alongside Wattbike indoor bikes, Ergatta rowers and Clmbr climbers, and it is in the process of buying Stepr, a connected stair climber. 

In a shareholder letter published this week, Interactive Strength reported record quarterly revenue of $6.6 million, up 445% from a year earlier. It credited nearly all of that growth to its acquisitions of Wattbike and Ergatta. The letter doesn’t discuss Forme’s performance. 

Alter, a U.S. startup founded by Scott Cohen and Blake Johnson, launched its own mirror system tied to DNA testing and a wearable in 2024. According to its website, consumers can select between two membership tiers and add on the AlterMe Smart Fitness Mirror for $800. Echelon also has its own version of a smart mirror, the Echelon Reflect fitness mirror, which offers live and on-demand classes.

Magic AI is intended for people who find the gym intimidating, Bhanot told The Times. The mirror uses sensors to track users as they exercise and corrects their form in real time. Its holographic trainers include former Manchester United and England soccer player Jesse Lingard, former England cricket captain Sir Alastair Cook and “Strictly Come Dancing” professional Katya Jones.

“What appeals to consumers is the accessibility,” Bhanot told the publication, adding that customers are also “time poor.”

“The cost of personal training, which is what we replace, is too expensive,” he added. “The national average is £50 an hour. Our mirror replicates that entire experience for people in the comfort of their own home.”

In the U.S., the mirror is listed on Magic AI’s website at $1,499, marked down from $1,999. A set of adjustable dumbbells can be added for $599 or a dumbbell-and-bench bundle for $899. The mirror doesn’t require a subscription. Buyers get lifetime access to its library of classes, which spans strength, HIIT, yoga, Pilates, dance and boxing workouts and adds new content weekly, under a limited-time.

An optional tier, Magic+, adds personalized weekly plans and custom workouts starting at £16.58 a month, or about $22.