Meta AI Investment: Reportedly Billions for Scale AI

Meta Considers Major Investment in Scale AI

Meta is currently in discussions regarding a substantial multibillion-dollar investment in Scale AI, as reported by Bloomberg. The potential deal is estimated to surpass $10 billion.

Should the investment materialize, it would represent the largest external AI investment to date by Meta, the parent company of Facebook. It would also rank among the most significant funding rounds ever secured by a privately held company.

Scale AI's Role in the AI Landscape

Scale AI, led by CEO Alexandr Wang, specializes in providing crucial data labeling services. These services are utilized by leading tech firms like Microsoft and OpenAI to facilitate the training of their artificial intelligence models.

A significant portion of this data labeling is performed by contracted workers. Recently, the Department of Labor concluded its inquiry into potential misclassification and underpayment of these employees at Scale AI.

Financial Performance and Growth

Bloomberg reports that Scale AI generated $870 million in revenue during the previous year. The company projects its revenue to reach $2 billion in the current year.

Existing Relationship and Defense Applications

Meta previously participated in Scale AI’s $1 billion Series F funding round, which established the company’s valuation at $13.8 billion.

Furthermore, Scale AI leveraged Meta’s Llama 3 to develop Defense Llama, a large language model specifically engineered for military applications.

This demonstrates a deepening collaboration between the two companies in the rapidly evolving field of artificial intelligence.