Propeller Launches $50M Fund III to Bridge MENA AI Startups with Silicon Valley
Building on the success of its first two funds, Fund III will focus exclusively on software startups developing horizontal AI infrastructure and AI-native applications, spanning areas from silicon-adjacent technology to enterprise workflows.
Propeller , a venture capital firm focused on AI infrastructure, has announced the launch of its $50 million Fund III, aimed at connecting MENA’s technical and entrepreneurial talent with market opportunities in Silicon Valley, while linking U.S.-based AI startups with large-scale AI infrastructure projects in the Middle East. Headquartered in Jordan, Propeller now operates across Amman, Riyadh, Boston, and Silicon Valley, creating a bridge between the MENA and U.S. startup ecosystems.
Building on the success of its first two funds, Fund III will focus exclusively on software startups developing horizontal AI infrastructure and AI-native applications, spanning areas from silicon-adjacent technology to enterprise workflows. The fund has already made five investments in 2025—Codemod, Netpreme, Stealthium, Pebble, and Ciphero AI—all based in or actively selling to the U.S. market.
“The future of MENA tech isn’t local, it’s global. Our strategy is to back founders who are building for cross-border growth. We strongly believe that our region will play a key role on the world stage in building the future of AI infrastructure. Propeller Ventures Fund III is designed as a bridge between exceptional builders and buyers from the MENA region and the startup, venture, and artificial intelligence ecosystems of Silicon Valley.”
– Zaid Farekh, Founder, Propeller
Propeller evaluates MENA founders based on global ambitions and go-to-market strategies from inception, prioritizing businesses built for scale. The team brings deep experience in launching, scaling, and exiting software startups across MENA and North America, supported by an extensive network of community partners, venture funds, technical talent, and potential design partners in both regions. Earlier this year, Hani Azzam joined Propeller to expand its U.S. presence and now steps into the role of Partner with the launch of Fund III.
Over its first two funds, Propeller has backed more than 30 startups, including Clarity (formerly Anecdote), ActivePieces, OpenCX, Corgea, Hounddog.ai, POSRocket, and Maqsam. These investments reflect the firm’s thesis of supporting technically ambitious founders building products with international scalability. Propeller’s second fund was backed by Saudi Venture Capital Company (SVC) and Jordan’s Innovative Startups and SMEs Fund (ISSF), underscoring the firm’s strong regional partnerships and track record in generating value while helping startups expand into global markets.
Fund III represents the next step in Propeller’s mission to identify and scale high-potential software companies, leveraging cross-border expertise to drive the growth of AI infrastructure and software innovation in both MENA and the U.S.
