Phaze Ventures has secured over $40 million toward two funds targeting $75 million for global AI companies and Omani startups. The firm continues raising capital toward its combined target.
Announced on October 28, the funds give the firm two investment channels: one for global AI and deeptech companies and another for AI-enabled businesses developing in Oman.
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Phaze Ventures Investment Strategy
The strategy puts Omani and Gulf capital into early-stage technology companies, rather than relying only on investments in large technology infrastructure providers or publicly traded companies. It also creates a dedicated funding route for local founders seeking to build AI businesses in Oman.
Phaze Ventures Fund II will continue the firm's global AI and deeptech strategy. Its anchor investors include ITHCA Group, a subsidiary of the Oman Investment Authority, Ominvest and the Oman LNG Development Foundation.
The second vehicle, Phaze Ventures Oman Fund, is anchored by Future Fund Oman and focuses on homegrown AI-enabled businesses.
The firm has not disclosed the individual fundraising targets for each fund or the precise amount earmarked for Omani startups. However, the separate mandates make the distinction clear: one fund targets international technology opportunities, while the other supports companies developing in Oman.
Supporting Omani Startups and Global Growth
That local focus matters because startups can face a funding gap when they move beyond product development and need capital to expand. A dedicated fund could help eligible Omani businesses finance that next stage, although its wider impact will depend on how much capital ultimately reaches local companies.
The fund's first 10 investments include Arabic.AI, Sully.ai, Andromeda Surgical, Boardy.ai and Metal. Together, the companies illustrate the range of problems Phaze Ventures is backing founders to solve.
Arabic.AI develops enterprise AI infrastructure for Arabic-language use. Sully.ai applies AI to healthcare workflows, while Andromeda Surgical is developing AI-guided surgical robotics.
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The portfolio also includes companies serving the startup ecosystem itself. Boardy.ai uses AI to connect founders with investors, customers and talent, while Metal provides AI-powered tools to support fundraising.
Phaze Ventures has invested alongside international venture capital firms including Andreessen Horowitz (a16z), 8VC, Standard Capital, Y Combinator and Baidu Ventures. Its involvement with Andromeda Surgical predates the company's $15 million Series A round led by Standard Capital in August 2026.
These investments reflect the firm's approach of backing companies early and connecting them with wider investor and business networks as they grow.
Future Outlook and Regional Expansion
The firm's launch comes as Oman works to attract more international companies and investors, including through the planned International Financial Centre of Oman. The funds offer a more direct route for venture capital to reach technology companies.
Rather than concentrating exclusively on large-scale AI infrastructure, the firm is investing in the businesses building applications and products around emerging technologies.
For Oman, the domestic fund could help connect local founders with capital and international investment networks. For the wider Gulf, the global fund offers another channel for regional investors to gain exposure to early-stage AI and deeptech companies.
Founded in 2018 and headquartered in Muscat, the firm also has a presence in Dubai and Riyadh. It manages capital for more than 50 investors, including institutional investors, corporations and family offices.
The firm has deployed more than $10 million across 10 companies, but it has not yet completed fundraising. Closing the gap between its current commitments and the $75 million-plus target will determine how much additional capital the two vehicles can deploy.
The other measure will be what happens after investment. For Omani startups, the key outcome is whether the local fund helps businesses move from product development to commercial growth. For the global portfolio, the key question is whether Phaze Ventures can help founders scale through capital, industry relationships, and access to new markets.
The launch signals an effort to bring Omani and Gulf investors closer to the companies shaping AI and deep tech. The results will depend on how effectively the funds deploy their capital and how far their portfolio companies can grow.
Engagement
