Strataphy, a Saudi Arabia-based deep-tech company developing geothermal and subsurface cooling technology for energy-intensive infrastructure such as AI data centres, industrial facilities and giga-projects, has secured US $6 million in a seed funding round, investors and media reports confirm.
The round was led by Outliers VC, with participation from Shorooq Partners and PlusVC (+VC), marking strong backing from venture capital firms focused on deep tech and climate-aligned infrastructure solutions.
Strataphy plans to use the capital to advance its proprietary PrimeLoop™ subsurface cooling platform, expand its engineering and operations teams, and support wider commercial deployments across the Middle East and North Africa (MENA) region and beyond.
The company’s technology taps into deep, stable underground thermal energy to cool infrastructure with significantly lower power requirements than conventional systems, a design tailored for hot climate regions where cooling demand is rising alongside growth in AI and industrial workloads. Researchers estimate cooling already accounts for about half of total electricity use in some high-temperature markets, particularly across the Middle East.
Strataphy’s seed round financing will underpin efforts to move the technology from early pilot projects into broader commercial use, including hyperscale data centres and industrial installations, where rising heat loads are becoming a critical operational constraint.
Co-founded in 2025 by Dr Ammar Alali, who holds a Ph.D. in Earth Sciences and Energy Systems, and Ahmed Alhani, the startup builds on the founders’ extensive experience in subsurface exploration and geothermal systems. Their platform aims to address energy efficiency and cost challenges in cooling-heavy applications and is offered in part through a Cooling-as-a-Service model to lower upfront capital barriers for adopters.
Strataphy’s early commercial engagements include partnerships and projects with major regional players and infrastructure developments, highlighting the growing market interest in deep-tech solutions that can deliver scalable, energy-efficient cooling for next-generation infrastructure.
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