Phaze Ventures Launches Two AI Funds Targeting Over $75 Million

What happened

Oman-based Phaze Ventures has launched two venture capital funds with a combined target of more than $75 million, and has already secured over $40 million in investor commitments. Both funds will back artificial intelligence and deeptech startups, in Oman and in international markets.

The first vehicle, Phaze Ventures Fund II, is anchored by ITHCA Group, a subsidiary of the Oman Investment Authority, alongside Ominvest and the Oman LNG Development Foundation. The second, Phaze Ventures Oman Fund, is backed by Future Fund Oman and will focus specifically on domestic AI-enabled businesses.

The firm was founded in 2018 by Abdullah Al Shaksy, Mohammed Al Wahaibi and Masoud Al Rawahi. It invests in early-stage AI and deeptech companies with a focus on the GCC and North America, and has offices or team members in Muscat, Dubai and Riyadh. Across the two funds it has made ten investments, including Arabic.AI, Sully.ai, Andromeda Surgical, Boardy.ai and Metal. Reporting indicates the firm manages capital for more than 50 investors.

Why it matters

The announcement shows how AI investment in the region is being structured around specific purposes. One vehicle is aimed at international opportunities and another is dedicated to AI-enabled businesses in Oman itself. For organisations in experience and digital transformation, that signals a growing pipeline of regional AI companies that will increasingly offer products for customer service, healthcare, workflow automation and other operational areas.

The portfolio also suggests the kinds of applications investors expect to scale. Companies working in clinical settings and conversational or agent-style tools point to AI moving from pilot projects into day-to-day service delivery, which places greater weight on reliability, governance and measurable outcomes.

By the numbers

• More than $75 million combined target across the two new funds.
• Over $40 million in investor commitments secured to date.
• 10 investments made by the two funds so far.
• More than 50 investors backing Phaze Ventures' capital.
• 2018: year the firm was founded.

The Renascence take

Most coverage will focus on the headline fund size, but the more useful signal is the anchor investors. Institutional backing from state-linked and sovereign-adjacent bodies works as social proof, and in B2B AI buying that kind of credibility often shapes trust before any product is tested.

The real story here is not the $75 million target; it is the decision to separate global AI bets from domestic AI-enabled businesses. A dedicated local fund creates a pipeline of regional vendors whose success will depend on how well they fit real service journeys, not on demo quality. Operators evaluating AI partners should ask how each tool performs for the customer and the frontline employee, and should treat early investor backing as a signal to look closer, not as proof of experience quality.