diff --git a/module-i18n.php b/module-i18n.php
index 5270c77bf..6a7650784 100644
--- a/module-i18n.php
+++ b/module-i18n.php
@@ -9,6 +9,8 @@
 	_x( 'Creates WebP versions for new JPEG image uploads if supported by the server.', 'module description', 'performance-lab' ),
 	_x( 'Enqueued Assets Health Check', 'module name', 'performance-lab' ),
 	_x( 'Adds a CSS and JS resource check in Site Health status.', 'module description', 'performance-lab' ),
+	_x( 'oEmbed Optimizer', 'module name', 'performance-lab' ),
+	_x( 'Optimize oEmbed loading with improved lazy loading.', 'module description', 'performance-lab' ),
 	_x( 'Autoloaded Options Health Check', 'module name', 'performance-lab' ),
 	_x( 'Adds a check for autoloaded options in Site Health status.', 'module description', 'performance-lab' ),
 );
diff --git a/modules/js-and-css/optimize-oembeds/hooks.php b/modules/js-and-css/optimize-oembeds/hooks.php
new file mode 100644
index 000000000..f419c4601
--- /dev/null
+++ b/modules/js-and-css/optimize-oembeds/hooks.php
@@ -0,0 +1,115 @@
+<?php
+/**
+ * Hook callbacks used for oEmbed Optimizer.
+ *
+ * @since n.e.x.t
+ * @package performance-lab
+ */
+
+if ( ! defined( 'ABSPATH' ) ) {
+	exit; // Exit if accessed directly.
+}
+
+/**
+ * Filter the oEmbed HTML.
+ *
+ * Add loading="lazy" to any iframe tags.
+ * Lazy load any script tags.
+ *
+ * @since n.e.x.t
+ *
+ * @param string $html The oEmbed HTML.
+ * @return string
+ */
+function perflab_optimize_oembed_html( string $html ): string {
+	$p = new WP_HTML_Tag_Processor( $html );
+
+	/**
+	 * Determine how to lazy load the embed.
+	 *
+	 * - If there is only one iframe, set loading="lazy".
+	 * - Prevent making scripts lazy if there is an inline script.
+	 * - Only make script lazy if there is a single external script (since if there are
+	 *   multiple they may not get loaded in the right order).
+	 * - Ensure that both the iframe and the script are made lazy if both occur in the same embed.
+	 */
+	$iframe_count      = 0;
+	$script_count      = 0;
+	$has_inline_script = false;
+	// Locate the iframes and scripts.
+	while ( $p->next_tag() ) {
+		if ( 'IFRAME' === $p->get_tag() ) {
+			$loading_value = $p->get_attribute( 'loading' );
+			if ( empty( $loading_value ) ) {
+				++$iframe_count;
+				$p->set_bookmark( 'iframe' );
+			}
+		} elseif ( 'SCRIPT' === $p->get_tag() ) {
+			if ( ! $p->get_attribute( 'src' ) ) {
+				$has_inline_script = true;
+			} else {
+				++$script_count;
+				$p->set_bookmark( 'script' );
+			}
+		}
+	}
+	// If there was only one non-inline script, make it lazy.
+	if ( 1 === $script_count && ! $has_inline_script ) {
+		add_action( 'wp_footer', 'perflab_optimize_oembed_lazy_load_scripts' );
+		$p->seek( 'script' );
+		$p->set_attribute( 'data-lazy-embed-src', $p->get_attribute( 'src' ) );
+		$p->remove_attribute( 'src' );
+	}
+	// If there was only one iframe, make it lazy.
+	if ( 1 === $iframe_count ) {
+		$p->seek( 'iframe' );
+		$p->set_attribute( 'loading', 'lazy' );
+	}
+	return $p->get_updated_html();
+}
+add_filter( 'embed_oembed_html', 'perflab_optimize_oembed_html' );
+
+/**
+ * Add a script to the footer if there are lazy loaded embeds.
+ * Load the embed's scripts when they approach the viewport using an IntersectionObserver.
+ *
+ * @since n.e.x.t
+ */
+function perflab_optimize_oembed_lazy_load_scripts() {
+	?>
+	<script type="module">
+		const lazyEmbedsScripts = document.querySelectorAll( 'script[data-lazy-embed-src]' );
+		const lazyEmbedScriptsByParents = new Map();
+
+		const lazyEmbedObserver = new IntersectionObserver(
+			( entries ) => {
+				for ( const entry of entries ) {
+					if ( entry.isIntersecting ) {
+						const lazyEmbedParent = entry.target;
+						const lazyEmbedScript = lazyEmbedScriptsByParents.get( lazyEmbedParent );
+						const embedScript = document.createElement( 'script' );
+						for ( const attr of lazyEmbedScript.attributes ) {
+							embedScript.setAttribute(
+								attr.nodeName === 'data-lazy-embed-src' ? 'src' : attr.nodeName,
+								attr.nodeValue
+							);
+						}
+						lazyEmbedScript.replaceWith( embedScript );
+						lazyEmbedObserver.unobserve( lazyEmbedParent );
+					}
+				}
+			},
+			{
+				rootMargin: '100% 0% 100% 0%',
+				threshold: 0
+			}
+		);
+
+		for ( const lazyEmbedScript of lazyEmbedsScripts ) {
+			const lazyEmbedParent = lazyEmbedScript.parentNode;
+			lazyEmbedScriptsByParents.set( lazyEmbedParent, lazyEmbedScript );
+			lazyEmbedObserver.observe( lazyEmbedParent );
+		}
+	</script>
+	<?php
+}
\ No newline at end of file
diff --git a/modules/js-and-css/optimize-oembeds/load.php b/modules/js-and-css/optimize-oembeds/load.php
new file mode 100644
index 000000000..6efcb4c7e
--- /dev/null
+++ b/modules/js-and-css/optimize-oembeds/load.php
@@ -0,0 +1,12 @@
+<?php
+/**
+ * Module Name: oEmbed Optimizer
+ * Description: Optimize oEmbed loading with improved lazy loading.
+ * Experimental: Yes
+ *
+ * @since   n.e.x.t
+ * @package performance-lab
+ */
+
+// Load in the oEmbed Optimizer module hooks.
+require_once __DIR__ . '/hooks.php';