EGYPT – AI startup DXwand has raised a US$4 million Series A funding round to power its regional expansion and accelerate research and development efforts.

The equity round was led by Shorooq Partners, with Algebra Ventures and existing investor the Dubai Future District Fund also participating. 

The investment will enable DXwand to expand further in the region and accelerate its research and development efforts in LLM, knowledge mining and retrieval augmented generation (RAG), solidifying its position as a dominant force in generative AI and knowledge mining within the region.

“This significant investment marks a pivotal moment for DXwand, enabling us to propel our regional expansion and intensify our commitment to advancing Gen AI and RAG technologies,” said Ahmad Mahmoud, CEO of DXwand.

“We are excited about the possibilities this funding opens up for DXwand and the broader landscape of conversational AI.” 

Established in 2018 by Ahmed Mahmoud and Mahmoud Gomaa, DXwand is a specialist in LLM, knowledge mining and omnichannel conversational AI. Its innovative AI-driven software automates text and voice conversations between customers and businesses, as well as different citizen-facing government services across various platforms, including call centres, Facebook Messenger, WhatsApp, SMS, and websites. 

Tamer Azer, partner at Shorooq Partners, said his firm had always believed in the region’s ability to produce new to market innovations.

“Our investment in DXwand is a continuation of this thesis. DXwand enables companies to grow not just faster but also smarter and enables governments to become far more efficient,” he said.

“Through technology that mines institutional knowledge to deliver superior access to information; DXwand enables a far more efficient engagement between governments and companies and their stakeholders be them citizens, employees or customers. 

“Ahmed and Mahmoud’s vision of using artificial intelligence to streamline access to information is one that started 5 years ago and is a vision we are exceedingly excited to underwrite.” 

Having previously raised US$1 million in a pre-Series A round in June 2022, led by Huashan Capital and SOSV, a US-based VC firm, along with contributions from angel investors, DXwand is poised for regional expansion.

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