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Meta in talks to invest more than $10bn in Scale AI
Meta in talks to invest more than $10bn in Scale AI

Yahoo

time11 hours ago

  • Business
  • Yahoo

Meta in talks to invest more than $10bn in Scale AI

Meta Platforms is in talks to make a substantial investment in AI startup Scale AI, with the potential funding likely to exceed $10bn, Bloomberg reported, citing sources. Scale AI, a provider of data labelling services, counts Microsoft and OpenAI among its clients. The company plays a crucial role in training machine-learning models, benefiting from the surge in generative AI. In 2024, Scale AI was valued at approximately $14bn, with backing from Meta and Microsoft. Earlier in 2025, the media outlet reported that Scale AI was in discussions for a tender offer, potentially valuing the company at $25bn. Should the investment proceed, it would represent Meta's largest external AI investment, diverging from its usual in-house research and open development strategies. Meta CEO Mark Zuckerberg has prioritised AI and plans to spend up to $65bn on related projects this year. Scale AI, co-founded by CEO Alexandr Wang in 2016, reported $870m in revenue last year and anticipates sales to exceed $2bn in 2025. The startup's services are described as pivotal in providing AI data for training. It employs a large number of contract workers to organise and label images, text, and other data, which can subsequently be utilised for AI training. Both Meta and Scale AI are involved in defence technology. Meta recently partnered with Anduril Industries to develop AI-powered military products. The two companies are already collaborating on Defence Llama, a military-focused version of Meta's Llama language model. Scale AI has secured a contract with the US Defence Department to develop AI agent technology. Earlier in June 2025, it was reported that Meta Platforms is working to enable brands to fully automate the creation and targeting of advertisements using AI by the end of 2026. "Meta in talks to invest more than $10bn in Scale AI" was originally created and published by Verdict, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.

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