The German physicist Harald Haas developed Li-Fi technology, also known as light fidelity technology. As the name implies, Li-Fi is a method of transmitting data that employs light as a communication medium or illumination to deliver data. It uses an LED bulb to transmit data and the LED bulb transmits data at a rate that is significantly faster than the speed of the human eye. Other names for it include optical wireless technology or luminous networking. The goal of this paper is to examine this ground-breaking innovation and compare Li-Fi to other wireless communication methods like Wi-Fi. Having wireless coverage inside of buildings, Wi-Fi is ideal for data transmission. However, Li-Fi offers faster speeds, greater bandwidth, greater safety and reliability.