Conversations around artificial intelligence (AI) have moved beyond whether the technology matters to how quickly it can be developed and scaled. In 2025, this shift was reflected in venture capital data across the Middle East and North Africa. The region’s AI sector attracted $858 million in funding in 2025, accounting for 22% of total venture capital deployed across MENA and nearly double the amount recorded the previous year, according to the 2025 State of Venture Capital of AI in MENA report by MAGNiTT, a venture capital data platform. The 2025 figures mark a transition in how artificial intelligence has become embedded in venture capital activity across the region. They also reveal a growing gap between where AI capital is being deployed and where startup activity is emerging, as fu...