AI funding reshapes Gulf tech

The new funds give Omani and Gulf businesses a local source of early‑stage capital for AI projects. Owners can tap money without leaving the region. Operators gain access to specialised AI tools that can improve efficiency. Executives and founders get a partner that also brings global networks and expertise.

What does the fund target?
AI and deep‑tech companies both in Oman and worldwide.

AI is the most disruptive technology shift of our generation.

Abdullah Al Shaksy

Two funds, clear mandates

Phaze Ventures launched two venture funds that together aim to raise more than $75 million, according to Wamda.

The Oman‑focused fund is anchored by Future Fund Oman and is dedicated to homegrown AI‑enabled businesses, said Jawlah.

Commitments already strong

Wamda says the platform has attracted more than $40 million in commitments and is negotiating further to achieve its $75 million goal.

According to entARABI, the investors comprise sovereign bodies, public firms, corporations, family offices and business families from Oman, Saudi Arabia, Bahrain, India and other regions.

Investors across Oman and the Gulf want a stake in the next generation of AI companies while they are still taking shape.

Mohammed Al Wahaibi

First ten deals show breadth

Co‑investors on these deals include a16z, 8VC, Standard Capital, Y Combinator and Baidu Ventures, per Wamda.

Sully.ai was highlighted by NVIDIA for cutting inference costs by 90 % and improving response times by 65 %, Wamda reports.

What would change this view

If the pledged money fails to convert into deployed capital, the impact on local firms would be limited. A slowdown in Oman’s International Financial Centre development could also reduce the attractiveness of the funds. Finally, if regulatory changes in the Gulf make AI investment riskier, investors may pull back.

What to do in your business tomorrow

  1. Map your current processes to identify where AI could cut costs or improve speed.
  2. Assess whether any of the ten portfolio companies offer tools that match your business needs.
  3. Build a short list of AI‑focused pilot projects and set a budget for early‑stage experimentation.

Sources

  • wamda.com: Oman's Phaze Ventures launches two AI funds targeting over $75 million
  • Dealroom: Phaze Ventures launches two funds targeting $75M for AI and deeptech
  • jawlah.co: Oman's Phaze Ventures launches $75 million investment platform to invest in AI and deep tech
  • entARABI: Phaze Ventures Targets $75 Million for AI Startups and Deep Tech