Tech Desk 
Jun 15, 2025
Google is reportedly planning to discontinue its partnership with Scale AI, a data-labelling startup that supports large generative AI companies, following Meta's investment of $14.3 billion in Scale AI in exchange for a 49% stake in the company.
Scale AI is known for its data annotation, which permits artificial intelligence systems to learn with verified human-generated data.
Data annotation is very important for training sophisticated artificial intelligence models, and it provides machine learning or artificial intelligence companies with exceedingly relevant and accurate human-verified data.
A multitude of tech firms, self-driving car companies, and even the US government are Scale AI clients.
However, most importantly, Scale AI's largest customer base is from the generative AI tools like chatbots and image generators.
According to a report from Reuters, Google planned to engage nearly $200 million of business in 2025 with Scale AI. Now, however, it appears that Google is talking to other companies to assess other opportunities.
Microsoft's team, reportedly, is also looking at its work with Scale. OpenAI, which owns ChatGPT, had originally reduced the work with Scale AI earlier, though its CFO had confirmed the company continues to use Scale as one of its vendors.
As part of the deal, Scale AI’s CEO Alexandr Wang is reportedly now helping lead Meta’s work on "superintelligence", a next-level form of AI development. That close partnership with Meta may be causing discomfort among competitors.
