Meta Platforms is reportedly in advanced discussions to invest more than $10 billion in artificial intelligence (AI) data-labeling startup Scale AI, according to a Bloomberg News report released on Sunday. The deal, if finalized, would mark one of the largest investments in an AI company to date and signal Meta’s escalating efforts to gain dominance in the rapidly evolving AI landscape.
Founded in 2016, Scale AI specializes in providing high-quality annotated data that is crucial for training AI models. The San Francisco-based startup plays a critical role in AI development by labeling data for use in machine learning, computer vision, and natural language processing applications. It is already backed by industry giants like Nvidia, Amazon, and Meta itself, underscoring its central role in the AI ecosystem.
Sources familiar with the matter told Bloomberg that while the terms of the investment are not yet finalized and could still change, the scale of the proposed deal suggests a significant deepening of Meta’s involvement with Scale AI. This investment may be structured as a multi-year commitment and could involve access to Scale’s services, tools, or strategic partnership opportunities.
Scale AI, valued at over $7 billion as of its last funding round, has increasingly become a vital partner for technology firms aiming to refine their AI systems. As generative AI tools continue to demand vast amounts of well-structured training data, companies like Scale are positioned as indispensable players.
Meta’s potential multibillion-dollar investment aligns with CEO Mark Zuckerberg’s public emphasis on AI as a cornerstone of the company’s future. The social media giant is ramping up efforts to enhance its AI capabilities, including developing its own AI models and integrating them across products like Facebook, Instagram, and WhatsApp.
While Meta has not issued a formal comment and Scale AI declined to respond to media inquiries, the reported talks highlight the growing intensity among tech firms to secure strategic advantages in AI. If the deal proceeds, it could reshape the competitive dynamics of the AI sector and strengthen Meta’s hand in the race to build next-generation AI applications.