Meta is reportedly in talks to invest in Scale AI, a company known for helping tech giants train artificial intelligence systems. According to a recent Bloomberg report, this deal could be worth more than US$10 billion, making it Meta’s largest investment in AI outside of its operations — and one of the biggest investments ever made in a private company.
If the deal goes ahead, it will mark a major step for Meta as it pushes deeper into the AI space. You may already know Meta as the parent company of Facebook, Instagram, and WhatsApp. However, in recent years, its focus has shifted toward artificial intelligence and emerging technologies.
What Scale AI does
Scale AI is a company that provides data labelling services used to train artificial intelligence models. This work involves tagging and organising large amounts of data — like images, videos, or text — so machines can learn from them more effectively.
The company’s clients include some of the biggest names in tech, like Microsoft and OpenAI. These companies rely on clean and properly labelled data to train advanced AI tools like chatbots and image generators.
Scale AI is led by CEO Alexandr Wang. While much of the data work is done by contractors, the company has faced criticism in the past over how it treats those workers. The U.S. Department of Labor recently closed an investigation into whether Scale AI had been misclassifying and underpaying its workers. The outcome of that investigation has not affected the company’s rapid growth.
Last year, Scale AI made US$870 million in revenue, and it now expects to earn US$2 billion by the end of this year. That’s a huge jump, showing how fast the demand for AI training tools is growing.
Meta’s role and deeper connections
Meta was already involved in Scale AI’s earlier funding. It took part in the company’s Series F round, which raised US$1 billion and valued Scale AI at US$13.8 billion. But this new possible investment would be on a much larger scale.
This potential deal is even more interesting because Scale AI has also worked directly with Meta’s technology. It developed Defense Llama, a large language model designed for use in military settings. That model is based on Meta’s Llama 3, showing that the two companies are already connected through funding and technical collaborations.
If Meta makes this new investment, it could help both companies stay ahead in a fast-changing tech race. AI models are becoming more potent by the day, and the companies that can train them faster and more effectively may lead the next wave of innovation.
Why this matters
You may wonder why a deal like this matters to people outside of the tech world. The truth is, as AI becomes more common in customer service, advertising, and even healthcare, companies like Scale AI are playing a big role behind the scenes.
By providing the data that helps machines “learn,” they’re shaping your devices’ smartness. Meta’s deep investment suggests it doesn’t want to be left behind in this AI race — and it sees Scale AI as a powerful partner in building the future.
If the talks result in a final deal, this could change the landscape of AI development for years to come.
