Meta's largest external AI investment to date! Agreed to acquire 49% stake in Scale AI for $14.8 billion

According to a report by The Information on Tuesday, citing two informed sources, Meta Platforms has agreed to acquire a 49% stake in the artificial intelligence startup Scale AI for $14.8 billion. The report states that Scale AI was founded in 2016 and focuses on providing large-scale labeled data, which is organized training data. This type of data is crucial for developing advanced AI tools like OpenAI's ChatGPT. The deal has not yet been finalized, but media reports suggest that the transaction seems quite favorable for Scale AI's investors, including companies like Accel, Index Ventures, Founders Fund, and Greenoaks Capital, as well as current and former employees of the company. Media analysis indicates that the potential deal structure between Meta and Scale AI may be designed to avoid more regulatory scrutiny. In last spring's funding round, Scale AI was valued at $13.8 billion. The company's revenue for 2024 is approximately $870 million, and it is expected to exceed $2 billion this year. According to its official website, Scale AI's clients include AI companies like OpenAI and Cohere, as well as tech giants like Microsoft, Meta, and Cisco Systems. Reports indicate that as part of the deal, Scale AI CEO Alexandr Wang will take on a senior position within Meta, leading a new lab called "superintelligence." A previous article from Wall Street Journal stated that if the deal goes through, it would become one of the largest private company financing transactions in history, representing Meta's largest external AI investment to date and a rare move for the social media giant. Previously, Meta primarily relied on internal research and open development strategies to advance AI technology. Of particular interest is the shared interest between Scale and Meta in defense technology. Last week, Meta announced a new partnership with defense contractor Anduril Industries to develop products for the U.S. military; meanwhile, Scale has increasingly collaborated with the U.S. government to develop military AI. Reports indicate that Meta CEO Mark Zuckerberg has been actively recruiting top AI researchers to drive the company's efforts in the artificial intelligence field. However, the company is currently facing public pressure regarding its "lagging behind in the AI race." The performance of the Llama 4 large language model released in April this year did not meet expectations, exacerbating this perception. Last month, media reports indicated that Meta delayed the release of its flagship AI model "Behemoth" due to concerns about its functionality. At the same time, Meta is also facing antitrust scrutiny regarding its acquisitions of Instagram and WhatsApp