Meta’s AI investment strategy is moving forward as the company discusses investing more than $10 billion in AI startup Scale AI, Bloomberg sources report. If completed, this would become Meta’s largest external investment in artificial intelligence.
Scale AI provides crucial data labeling services for machine learning models. Its clients include Microsoft and OpenAI. The startup’s role has grown amid the rise of generative AI technologies.
CEO Mark Zuckerberg has prioritized AI this year, planning to spend up to $65 billion on related projects. This potential investment signals a shift from Meta’s usual focus on in-house AI development to more external partnerships.
Founded in 2016 by Alexandr Wang, Scale AI reported $870 million in revenue last year. The company expects to surpass $2 billion in sales in 2025. Earlier this year, Scale AI was valued at around $14 billion, with talks of a $25 billion valuation during a tender offer.
Scale AI depends heavily on a large workforce of thousands of contract workers who carefully label and organize vast amounts of data. This data includes images, text, videos, and other types of information essential for training machine learning models.
Both Meta and Scale AI are active in defense technology. They collaborate on Defence Llama, a military-focused version of Meta’s Llama language model. Meta also partnered with Anduril Industries to develop AI-powered military products. Scale AI holds a contract with the U.S. Defense Department to create AI agent technology.
In addition, Meta is pushing to fully automate the creation and targeting of advertisements using artificial intelligence. The company aims to achieve this goal by the end of 2026, which would revolutionize digital marketing.
If the investment in Scale AI proceeds, it would greatly expand Meta’s AI investment strategy. Such a move would strengthen Meta’s position as a leader in AI development and innovation.
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