Tactful AI, an Egyptian-born customer experience (CX) platform enabling enterprises to transform customer service using Agentic AI, raises $1 million in a Pre-Series A funding round. The round was co-led by Foras AI and M Empire, with participation from a group of prominent deep-tech angel investors.
Over the past 12 months, Tactful AI has achieved more than 100x growth in platform usage, driven by a focused strategy centered on product–market fit and close collaboration with a select group of enterprise customers. During this period, the company worked hands-on with leading organizations to modernize customer experience operations and deploy Agentic AI in a responsible, production-ready manner.
Tactful AI currently serves enterprise customers including Elaraby Group, Raneen, Lucky App, valU, and Bosta, spanning sectors such as retail, fintech, logistics, and consumer services.
As customer experience increasingly becomes a sustainable source of competitive advantage, enterprises are under growing pressure to move faster, personalize at scale, and continuously optimize performance while avoiding added operational complexity or risk. At the same time, advances in AI are dramatically reducing the cost and time required to build software, reshaping expectations across industries.
Tactful AI addresses this challenge through a CX platform designed to help organizations turn customer data into action, empower teams to adapt quickly, and transition from traditional automation to agentic execution, where AI can resolve customer requests end-to-end within defined operational controls.
Use of Funds:
Capital from the Pre-Series A round will be used to:
Strengthen growth in the Egyptian market, where Tactful AI has demonstrated strong enterprise traction.
Explore and validate new regional markets across EMEA.
Accelerate research and development, enhancing the platform’s agentic capabilities, scalability, and integrations.
This round builds on a previously announced $5 million investment in R&D over recent years, with plans to double that investment over the next three years. The company is targeting a Series A round within the next 12 months.
In addition to Foras AI and M Empire, the round includes investments from well-known deep-tech founders and operators, including Omar Gabr, Co-Founder of Luciq (formerly Instabug), Mohamed Samir, Founder of Si-Bits, and Ahmed Fakhry, Co-Founder of Infinilink.
The round also includes participation from company founders Mohamed Elmasry and Mohamed Hassan, reflecting strong confidence from experienced technology entrepreneurs in Tactful AI’s vision, team, and execution capabilities.
The founders previously completed a full management buyback of the company after it had been acquired in 2022 by European communications company Dstny.
“Over the past year, we made a conscious decision to prioritize depth over speed, focusing on product–market fit and working closely with enterprise customers to solve real CX challenges”, said Mohamed Elmasry, Founder and CEO of Tactful AI. “The result was more than 100x growth in platform usage and a much clearer understanding of how Agentic AI can be applied effectively in production environments. This round gives us the fuel to scale that impact starting with Egypt, expanding regionally, and continuing to invest heavily in R&D”.
“We believe the future of customer experience will be shaped by platforms that enable speed, adaptability, and intelligent execution not just more tools”, said Maged Ghoniema, General Partner at M Empire. “Tactful AI has demonstrated strong traction, disciplined focus on product–market fit, and a deep understanding of enterprise needs. We’re excited to support the team as they scale”.
“What stood out to us is Tactful AI’s ability to translate advanced AI concepts into practical, high-impact CX improvements”, said Mohamed Aboulnaga, General Partner at Foras AI. “Their growth, enterprise adoption, and long-term commitment to R&D position them well to build a category-defining CX platform for the region and beyond”.
