Google Reportedly Cutting Ties with Scale AI Amid Meta Investment

Jun 15, 2025 United States United States Technology
Google Reportedly Cutting Ties with Scale AI Amid Meta Investment

Google may cut ties with Scale AI after Meta's investment. Microsoft and OpenAI might also reduce their reliance on the data annotation firm.

Google Reportedly Reconsidering Partnership with Scale AI

Google is reportedly re-evaluating its relationship with Scale AI, potentially severing ties following a substantial investment from Meta in Scale.

According to Reuters, Google initially intended to pay Scale $200 million this year. However, the tech giant is now exploring alternative solutions and engaging with Scale's competitors.

Other Tech Companies Weighing Options

Microsoft is also rumored to be scaling back its reliance on Scale, and OpenAI purportedly made a similar decision months ago. Despite this, OpenAI's CFO has stated they will continue to use Scale as one of several vendors.

Scale AI's Diverse Client Base

Scale AI's customer base includes self-driving car companies and the U.S. government. Generative AI firms seeking specialized data annotation services for model training represent its largest customer segment.

A Scale spokesperson declined to comment directly on the Google situation. However, they affirmed the company's robust performance and commitment to safeguarding customer data. The speculation arose following reports that Meta invested $14.3 billion for a 49% stake in Scale, with Scale CEO Alexandr Wang reportedly joining Meta to lead their AI development efforts.

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