
Five things: BIO in Boston, 'Loganing,' Petri Dish and Best Places to Work rankings
Good morning, Boston. Here are the five things you need to know in local business news to start your busy Friday, and one more thing to know: Tomorrow marks yet another Saturday with rain in the forecast.
1. Forget 'Storrowing.' Massport deals with 'Loganing'
MassPort is taking steps to address an uptick in "too-tall" truck strikes on road signs and overpasses at Logan International Airport, Isabel Hart reports.
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2. BIO is nigh upon us
BIO International, the global convention for life sciences companies, investors, partners and the state and national economic development officials wooing them, is arriving in Boston starting on Monday. Hannah Green has all you need to know about what it means to host this major trade show, and spoke with one of the original architects of the Massachusetts life sciences industry.
3. Alnylam, GSK, Vertex pledge Mass. jobs for tax incentives
Green also reports that 33 life sciences companies are slated to receive $29.9 million in tax incentives in exchange for creating over 1,500 new jobs in Massachusetts.
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4. Boston vaccine developer acquired for $1.25B
And because she's not busy enough, Green also reports that CureVac NV, whose U.S. headquarters is in Boston, is being acquired by BioNTech in a deal valued at $1.25 billion.
5. How small businesses can use AI
Small businesses are learning to put AI to work as an extra pair of hands through a partnership with a local nonprofit led by a Boston University researcher and the Black Economic Council of Massachusetts, Eli Chavez reports.
What else you need to know
By the numbers
The Petri Dish
A spinout from Scorpion Therapeutics debuted with $177 million, Bicara Therapeutics doubled its footprint, and the Mass. Life Sciences Center gave out health equity awards of $50,000 — all in the latest biotech news roundup from Hannah Green.
On the radio
This morning at 6:45 or 8:45 on GBH Radio's "Morning Edition" you can hear Jess Aloe report the "Boston Business Journal Minute" — a quick highlight of the week's top stories. Not near the radio? Listen here anytime.
Listen this Sunday to the New England Business Report, where I will be discussing the news of the week with Kim Carrigan and Joe Shortsleeve. Tune in at 8 a.m. on WRKO-AM 680 or listen here.
Quotable
'I feel like the grandmother who sits at the soccer game, and I look out there and I see my little grandchild running up and down the field and scoring goals and being a star player. And nobody knows that that's my grandchild, but I know.' — Susan Windham-Bannister, former head of the Mass. Life Sciences Center, reflecting on the growth of the industry since 2008.
Today in history
On this day in 1995, Alanis Morissette released her breakthrough album, Jagged Little Pill. (On This Day In Music)
Birds I'm seeing
Tree Swallow in Belle Isle Marsh, East Boston
What's good on WERS-FM
Brilliant Mistake, by Elvis Costello
What I'm watching
Kaos, on Netflix
Welcome to the jungle
Whether you like Guns N' Roses, or not, you couldn't ignore the jungle theme at last night's 23rd annual Boston Business Journal Best Places to Work ceremony and reception. Stay tuned for photos from the event, which will be posted to our site later today, but for those of you wondering which companies ranked highest in their size category, you can find all the 2025 Best Places to Work here or scroll below for the rankings themselves.
As I mentioned, the event was 'jungle-themed,' meaning lots of vegetation, animals and reptiles, stilt-walking giraffes, elephants and lions, and more. We had over 300 nominations this year, and from those, Massachusetts-based employees were surveyed by Quantum Workplace, our longtime data partner, and their responses led us to expand this year's ranking from 80 companies to 100 qualifying as Best Places to Work.
If you love your company and think it could be among the top-ranked Best Places to Work, be sure to contact Sean McFadden, our associate editor, research, who will make sure you're included in the survey process next year.
PARTING SHOT
You know how much I love a wildlife webcam. Well, these researchers are using hidden cameras in the jungles of Central America to get help from the animals themselves in documenting the rainforest's incredible variety of species.
Subscribe to the Morning Edition or Afternoon Edition for the business news you need to know, all free.
Best Places to Work: Extra Large Companies (500 employees and up)
Score
Rank Prior Rank Company
1
1
VHB
2
6
Arbella Insurance Group
3
3
Vertex Pharmaceuticals Inc. View this list
Best Places to Work: Large Companies (250 to 499 employees)
Score
Rank Prior Rank Company
1
2
Wasabi Technologies
2
2
CyberArk
3
3
Weston & Sampson View this list
Best Places to Work: Medium Companies (100 to 249 employees)
Score
Rank Prior Rank Company
1
1
SEI - Boston
2
2
RapDev LLC
3
2
J. Calnan & Associates View this list
Best Places to Work: Small Companies (50 to 99 employees)
Score
Rank Prior Rank Company
1
1
Tines
2
3
Ligris + Associates PC
3
3
Your Part-Time Controller LLC View this list
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Google, Scale AI's largest customer, plans split after Meta deal, sources say
Alphabet's Google, the largest customer of Scale AI, plans to cut ties with Scale after news broke that rival Meta is taking a 49% stake in the AI data-labeling startup, five sources familiar with the matter told Reuters. Google had planned to pay Scale AI about $200 million this year for the human-labeled training data that is crucial for developing technology, including the sophisticated AI models that power Gemini, its ChatGPT competitor, one of the sources said. The search giant already held conversations with several of Scale AI's rivals this week as it seeks to shift away much of that workload, sources added. Scale's loss of significant business comes as Meta takes a big stake in the company, valuing it at $29 billion. Scale was worth $14 billion before the deal. Scale AI intends to keep its business running while its CEO, Alexandr Wang, along with a few employees, move over to Meta. Since its core business is concentrated around a few customers, it could suffer greatly if it loses key customers like Google. In a statement, a Scale AI spokesperson said its business, which spans work with major companies and governments, remains strong, as it is committed to protecting customer data. The company declined to comment on specifics with Google. Scale AI raked in $870 million in revenue in 2024, and Google spent some $150 million on Scale AI's services last year, sources said. Other major tech companies that are customers of Scale's, including Microsoft, are backing away as well. Elon Musk's xAI is also looking to exit, one of the sources said. OpenAI decided to pull back from Scale several months ago, according to sources familiar with the matter, though it spends far less money than Google. OpenAI's CFO said on Friday that the company will continue to work with Scale AI, as one of its many data vendors. Companies that compete with Meta in developing cutting-edge AI models are concerned that doing business with Scale could expose their research priorities and road map to a rival, five sources said. By contracting with Scale AI, customers often share proprietary data as well as prototype products for which Scale's workers are providing data-labeling services. With Meta now taking a 49% stake, AI companies are concerned that one of their chief rivals could gain knowledge about their business strategy and technical blueprints. Google, Microsoft and OpenAI declined to comment. xAI did not respond to a request for comment. The bulk of Scale AI's revenue comes from charging generative AI model makers for providing access to a network of human trainers with specialized knowledge — from historians to scientists, some with doctorate degrees. The humans annotate complex datasets that are used to "post-train" AI models, and as AI models have become smarter, the demand for the sophisticated human-provided examples has surged, and one annotation could cost as much as $100. Scale also does data-labeling for enterprises like self-driving car companies and the U.S. government, which are likely to stay, according to the sources. But its biggest money-maker is in partnering with generative AI model makers, the sources said. Google had already sought to diversify its data service providers for more than a year, three of the sources said. But Meta's moves this week have led Google to seek to move off Scale AI on all its key contracts, the sources added. Because of the way data-labeling contracts are structured, that process could happen quickly, two sources said. This will provide an opening for Scale AI's rivals to jump in. "The Meta-Scale deal marks a turning point," said Jonathan Siddharth, CEO of Turing, a Scale AI competitor. "Leading AI labs are realizing neutrality is no longer optional, it's essential." Labelbox, another competitor, will "probably generate hundreds of millions of new revenue" by the end of the year from customers fleeing Scale, its CEO, Manu Sharma, told Reuters. Handshake, a competitor focusing on building a network of PhDs and experts, saw a surge of workload from top AI labs that compete with Meta. "Our demand has tripled overnight after the news," said Garrett Lord, CEO at Handshake. Many AI labs now want to hire in-house data-labelers, which allows their data to remain secure, said Brendan Foody, CEO of Mercor, a startup that in addition to competing directly with Scale AI also builds technology around being able to recruit and vet candidates in an automated way, enabling AI labs to scale up their data labeling operations quickly. Founded in 2016, Scale AI provides vast amounts of labeled data or curated training data, which is crucial for developing sophisticated tools such as OpenAI's ChatGPT. The Meta deal will be a boon for Scale AI's investors including Accel and Index Ventures, as well as its current and former employees. As part of the deal, Scale AI's CEO, Wang, will take a top position leading Meta's AI efforts. Meta is fighting the perception that it may have fallen behind in the AI race after its initial set of Llama 4 large language models released in April fell short of performance expectations.

Associated Press
27 minutes ago
- Associated Press
Meta invests $14.3B in AI firm Scale and recruits its CEO for ‘superintelligence' team
Meta is making a $14.3 billion investment in artificial intelligence company Scale and recruiting its CEO Alexandr Wang to join a team developing 'superintelligence' at the tech giant. The deal announced Thursday reflects a push by Meta CEO Mark Zuckerberg to revive AI efforts at the parent company of Facebook and Instagram as it faces tough competition from rivals such as Google and OpenAI. Meta announced what it called a 'strategic partnership and investment' with Scale late Thursday. Scale said the $14.3 billion investment puts its market value at over $29 billion. Scale said it will remain an independent company but the agreement will 'substantially expand Scale and Meta's commercial relationship.' Meta will hold a 49% stake in the startup. Wang, though leaving for Meta with a small group of other Scale employees, will remain on Scale's board of directors. Replacing him is a new interim Scale CEO Jason Droege, who was previously the company's chief strategy officer and had past executive roles at Uber Eats and Axon. Zuckerberg's increasing focus on the abstract idea of 'superintelligence' — which rival companies call artificial general intelligence, or AGI — is the latest pivot for a tech leader who in 2021 went all-in on the idea of the metaverse, changing the company's name and investing billions into advancing virtual reality and related technology. It won't be the first time since ChatGPT's 2022 debut sparked an AI arms race that a big tech company has gobbled up talent and products at innovative AI startups without formally acquiring them. Microsoft hired key staff from startup Inflection AI, including co-founder and CEO Mustafa Suleyman, who now runs Microsoft's AI division. Google pulled in the leaders of AI chatbot company while Amazon made a deal with San Francisco-based Adept that sent its CEO and key employees to the e-commerce giant. Amazon also got a license to Adept's AI systems and datasets. Wang was a 19-year-old student at the Massachusetts Institute of Technology when he and co-founder Lucy Guo started Scale in 2016. They won influential backing that summer from the startup incubator Y Combinator, which was led at the time by Sam Altman, now the CEO of OpenAI. Wang dropped out of MIT, following a trajectory similar to that of Zuckerberg, who quit Harvard University to start Facebook more than a decade earlier. Scale's pitch was to supply the human labor needed to improve AI systems, hiring workers to draw boxes around a pedestrian or a dog in a street photo so that self-driving cars could better predict what's in front of them. General Motors and Toyota have been among Scale's customers. What Scale offered to AI developers was a more tailored version of Amazon's Mechanical Turk, which had long been a go-to service for matching freelance workers with temporary online jobs. More recently, the growing commercialization of AI large language models — the technology behind OpenAI's ChatGPT, Google's Gemini and Meta's Llama — brought a new market for Scale's annotation teams. The company claims to service 'every leading large language model,' including from Anthropic, OpenAI, Meta and Microsoft, by helping to fine tune their training data and test their performance. It's not clear what the Meta deal will mean for Scale's other customers. Wang has also sought to build close relationships with the U.S. government, winning military contracts to supply AI tools to the Pentagon and attending President Donald Trump's inauguration. The head of Trump's science and technology office, Michael Kratsios, was an executive at Scale for the four years between Trump's first and second terms. Meta has also begun providing AI services to the federal government. Meta has taken a different approach to AI than many of its rivals, releasing its flagship Llama system for free as an open-source product that enables people to use and modify some of its key components. Meta says more than a billion people use its AI products each month, but it's also widely seen as lagging behind competitors such as OpenAI and Google in encouraging consumer use of large language models, also known as LLMs. It hasn't yet released its purportedly most advanced model, Llama 4 Behemoth, despite previewing it in April as 'one of the smartest LLMs in the world and our most powerful yet.' Meta's chief AI scientist Yann LeCun, who in 2019 was a winner of computer science's top prize for his pioneering AI work, has expressed skepticism about the tech industry's current focus on large language models. 'How do we build AI systems that understand the physical world, that have persistent memory, that can reason and can plan?' LeCun asked at a French tech conference last year. These are all characteristics of intelligent behavior that large language models 'basically cannot do, or they can only do them in a very superficial, approximate way,' LeCun said. Instead, he emphasized Meta's interest in 'tracing a path towards human-level AI systems, or perhaps even superhuman.' When he returned to France's annual VivaTech conference again on Wednesday, LeCun dodged a question about the pending Scale deal but said his AI research team's plan has 'always been to reach human intelligence and go beyond it.' 'It's just that now we have a clearer vision for how to accomplish this,' he said. LeCun co-founded Meta's AI research division more than a decade ago with Rob Fergus, a fellow professor at New York University. Fergus later left for Google but returned to Meta last month after a 5-year absence to run the research lab, replacing longtime director Joelle Pineau.
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