MilkStraw AI, a cloud optimization startup operating in the UAE and San Francisco, has raised $2 million in Seed funding led by VentureSouq. The round also saw participation from Ibtikar Fund and M Capital, building on the company’s earlier $600,000 pre-seed round in January 2025.
Addressing a Critical Need
The investment reflects a growing demand for cloud cost management solutions as businesses scale. Cloud infrastructure expenses are a significant operational burden, particularly for rapidly growing companies. MilkStraw AI’s ability to close this round in just 45 days signals strong investor confidence in the sector.
What MilkStraw AI Does
Founded in 2023 by Jawad Shreim, MilkStraw AI automates and optimizes cloud infrastructure costs using artificial intelligence. The platform promises up to 75% savings on Amazon Web Services (AWS) costs by leveraging reserved instance pricing with on-demand flexibility.
- This is particularly valuable for startups and technology companies where efficient spending is crucial. *
Traction and Growth
The company already serves over 100 startups across fintech, SaaS, and other tech sectors. Key customers include prominent MENA firms like Thndr, Maqsam, Ziina, Beyond Limits, and Zero.
Future Development
The new funding will fuel product expansion and operational scaling, including:
- The Feed: A real-time infrastructure monitoring feature.
- Right Sizing: Automated resource optimization tools.
- AI-Driven Conversational Interface: Allowing users to manage cloud infrastructure using natural language.
Regional Expansion
MilkStraw AI intends to strengthen its presence in the Middle East and North Africa (MENA) region and expand into new markets. The company initially focused on serving firms like Magnitt, Voltlines, RISE, and Washmen before broadening its customer base.
The rapid completion of this funding round underscores the increasing importance of cloud cost optimization as a core business function for technology companies.
This investment highlights a trend toward specialized AI-driven solutions in infrastructure management, where businesses are actively seeking tools to reduce costs without sacrificing growth or service quality.
