The Oman-based venture capital firm is targeting more than $75 million across two vehicles, linking international technology investments with a dedicated pool for Omani companies.
Oman-based Phaze Ventures has secured more than $40 million in commitments for two new funds targeting more than $75 million combined, as the venture capital firm expands its investments in artificial intelligence and deep technology.
More than $10 million has already been deployed across 10 companies, according to Phaze. The firm is continuing discussions with investors as it works towards the combined fundraising target.
The two funds have separate mandates. Phaze Ventures Fund II will back early-stage AI and deeptech companies in international markets, while the Phaze Ventures Oman Fund will invest in homegrown businesses applying AI and other advanced technologies.
The distinction matters. Rather than treating international exposure and domestic company building as parts of a single broad mandate, Phaze has created separate pools of capital for each.
Omani institutions anchor the two funds
Phaze Ventures Fund II is anchored by ITHCA Group, a subsidiary of Oman Investment Authority, alongside Ominvest and the Oman LNG Development Foundation.
The Oman-focused fund is anchored by Future Fund Oman, an Oman Investment Authority initiative established to support private-sector growth and economic diversification.
Phaze has not disclosed the respective targets of the two funds, the division of the more than $40 million already committed or the amount reserved specifically for Omani companies.
The participation of major Omani institutions nevertheless gives the platform a strong domestic base. It also shows how capital from the Sultanate is seeking earlier exposure to companies developing emerging technologies, rather than concentrating exclusively on established technology businesses, infrastructure projects or public markets.
“AI is the most disruptive technology shift of our generation,” said Abdullah Al Shaksy, co-founder and chief executive of Phaze Ventures.
“Oman and the Gulf can’t afford to be a spectator,” he added.
Al Shaksy argued that the region needs to participate in the creation of new technology companies at an early stage, including businesses being built within the Gulf and those emerging in larger international markets.
That approach carries greater company-level risk than investing in listed technology groups or established infrastructure providers. It may, however, give Gulf investors a more direct stake in the technologies and business models reshaping sectors such as healthcare, energy, financial services and logistics.
From AI infrastructure to industry applications
The first 10 investments made through the new funds include Arabic.AI, Sully.ai, Andromeda Surgical, Boardy.ai and Metal.
The portfolio suggests that Phaze is concentrating on companies applying AI to particular industries and business processes, rather than placing a broad bet on general-purpose AI alone.
Arabic.AI develops Arabic-language models and enterprise AI products. The company, founded as Tarjama in 2008, secured a strategic investment from Saudi Arabia’s HUMAIN in September 2026. Its products cover areas including document intelligence, translation management, speech technology and enterprise AI agents.
Andromeda Surgical is developing AI-guided robotic technology for urological procedures. It raised a $15 million Series A round led by Standard Capital in August 2026, after receiving earlier backing from Phaze Ventures.
Sully.ai develops AI agents for clinical and administrative healthcare workflows. Metal provides software for managing startup fundraising, while Boardy.ai uses conversational AI to connect founders and business professionals with potential investors, recruits and commercial partners.
Across these investments, Phaze has participated alongside firms and programmes including Andreessen Horowitz, 8VC, Standard Capital, Y Combinator and Baidu Ventures. These shared portfolio relationships can give the Omani firm access to wider investment and operating networks, although participation alongside large international investors does not by itself establish the commercial performance of the underlying companies.
“We back founders who combine domain expertise with strong engineering and learn from every real-world deployment,” said Masoud Al Rawahi, co-founder and partner at Phaze Ventures.
Addressing the scale-up gap in Oman
The Oman Fund is the more locally consequential part of the announcement.
Early-stage capital has become more visible in the Sultanate, supported by government initiatives, institutional investors and regional funds. Yet access to follow-on financing remains a challenge once a company has developed a viable product and needs to expand.
“Funding can be a constraint, but mostly at later stages,” Al Shaksy told the Oman Observer in separate written comments accompanying the fund announcement. Oman Observer
He also identified energy, logistics, finance and healthcare as sectors in which Omani entrepreneurs could build AI products using their knowledge of established industries and local operating requirements.
This is an important distinction for Oman’s technology ambitions. A startup ecosystem needs early experiments, but its longer-term value depends on whether promising companies can secure customers, raise subsequent rounds and expand beyond a relatively small domestic market.
The dedicated Oman vehicle could help provide the first layer of capital. Its broader effect will depend on whether portfolio companies can gain access to large local customers and attract regional or international investors as they grow.
Oman has already introduced several vehicles intended to deepen its investment market. These include Future Fund Oman and the $180 million Jasoor Fund established by Oman Investment Authority and Abu Dhabi-based ADQ, previously covered in Rasmal’s review of regional venture fund activity.
The wider development of Muscat’s founder, investor and support network is examined in Rasmal’s report on Oman’s startup ecosystem.
A bridge between Gulf capital and global technology
Phaze Ventures was founded in 2018 by Al Shaksy, Mohammed Al Wahaibi and Al Rawahi. Headquartered in Muscat, it also has team members in Dubai and Riyadh.
The firm says it manages capital for more than 50 investors, including sovereign entities, listed companies, corporations, family offices and business families across Oman, Saudi Arabia, Bahrain, India and other markets.
Its earlier investments include Omani online automotive platform Carzaty, acquired by Mexico’s Kavak in 2022, and maritime cybersecurity company CyberOwl, acquired by assurance and risk-management group DNV in 2024. Phaze’s current public portfolio also includes Omani mobility technology company eMushrif, which announced a $7.5 million funding round in January 2026.
The new two-fund structure extends that model. Fund II gives Omani and Gulf investors access to early-stage technology businesses internationally, while the Oman Fund is intended to build a stronger financing route for companies emerging within the Sultanate.
The announcement should still be read according to the capital secured so far. More than $40 million has been committed, while the figure above $75 million remains the combined fundraising target.
Even at its present size, however, the platform represents a substantial private venture initiative from Oman. Its longer-term importance will be measured by whether it can turn institutional commitments into commercially successful companies, attract additional private capital and help Omani founders compete beyond their home market.
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Last Updated on October 28, 2026 by Safiya K
