Google Breaks With Scale AI After Meta Investment

Google is reportedly no longer planning to spend millions on Scale AI, now that the company has received a significant investment from competitor Meta.

According to Reuters, Google planned to spend $200 million on Scale AI this year. Now that the latter has received a substantial investment from Meta, Google is reportedly in talks with competitors and is looking to limit its spending.

It is not formally known how much Scale AI received from Meta, but Bloomberg spoke to sources last week who mentioned amounts of $10 billion to $14.3 billion. That would correspond to a 49 percent stake in the company. Founder and CEO Alexandr Wang is also transferring to Meta.

Scale AI was founded in 2016 and focuses on training data labelled by humans. This specialization makes the company a supplier to (gen)AI companies that can build better artificial intelligence systems through better and more reliable data.