<div id="readability-page-1"><p>Speculation about a Scale.ai IPO has dampened down in recent months following its mega-deal with tech titan Meta Platforms (META).</p><h3>Claim 70% Off TipRanks This Holiday Season</h3><ul><li>Unlock  hedge fund-level data  and  powerful investing tools  for smarter, sharper decisions  </li><li> Stay ahead of the market with  the latest news and analysis  and maximize your portfolio's potential</li></ul> <p>Mark Zuckerberg's social media behemoth paid nearly $15 billion back in the summer for a 49% stake in the AI data-labelling startup. As part of the deal Scale.ai's founder Alexandr Wang is now taking up a new role heading up Meta's AI unit. Although he remains on the Scale.ai board.</p> <p>Meta's huge stake could make an IPO less likely given some investors will expect Scale.ai to at some point be fully consumed by Meta. There have also been concerns over the lowering of Scale.ai valuation expectations following the Meta deal. That's down to the loss of Wang as well as some major clients like Alphabet-owned Google (GOOGL) cutting ties with Scale.ai following the Meta tie-up.</p> <p>Even if the company does not go public, it is still possible for investors to buy Scale.ai stock in 2026.</p> <h2><strong>What is Scale AI?</strong></h2> <ul> <li>Founded – 2016 by Alexandr Wang and Lucy Guo</li> <li>Core Product – Delivers high-quality training data for AI applications such as self-driving cars, robotics and mapping. This includes data annotation and labelling. Its clients include AI companies training large language models, governments and corporates.</li> <li>Customers – According to the Sense website the company has nearly 1,000 customers.</li> <li>Revenues –  Research platform Sacra estimates that Scale.ai achieved $1.5 billion in annual recurring revenue (ARR) at the end of 2024, up around 97% year-over-year from $760 million in 2023. It said that the 2023 revenue explosion was driven by $18 billion in capital flowing into foundational model companies like Open AI, Anthropic and Cohere that used Scale.ai to train their large language models (LLMs) using reinforcement learning from human feedback (RLHF). It also benefits from stable government contracts. However, the Meta deal, it added, has triggered customer flight from its largest clients. OpenAI and Google—who together represented a significant portion of Scale's revenue—have cut ties following the deal, with Microsoft reportedly exploring alternatives. Google alone was planning to spend $200 million on Scale's services in 2025 before pulling back.</li> <li>Why Scale.ai stock could matter to investors – Although there are concerns over the direction of the business following the Meta deal, it is indicative of the demand for Scale.ai's services in the AI revolution. Simply, Scale.ai provides vital services to help organizations from all sectors develop new AI models and products for the benefits of society, business, workers and consumers. It is a vital cog in the AI supply chain.</li> </ul> <h2><strong>Scale.ai Valuation</strong></h2></div>

GOOG

GOOGL

<p>Speculation about Scale.ai's IPO has decreased after its $15 billion deal with Meta Platforms, which acquired a 49% stake. Scale.ai's founder, Alexandr Wang, now leads Meta's AI unit but remains on Scale's board. Concerns arise over lowered valuation expectations and client losses, including Google. Despite these challenges, Scale.ai is projected to achieve $1.5 billion in annual recurring revenue by 2024, driven by demand for AI training data. Investors may still have opportunities to buy Scale.ai stock in 2026, reflecting its importance in the AI supply chain.</p>

- Speculation regarding a Scale.ai IPO has diminished after its $15 billion deal with Meta Platforms, which acquired a 49% stake and appointed founder Alexandr Wang to lead Meta's AI unit.  
- This transaction has raised concerns about Scale.ai's valuation and potential IPO, as major clients like Google have cut ties, fearing the company may fully integrate with Meta.  
- Despite these challenges, Scale.ai recorded significant revenue growth and remains crucial in providing essential data services for AI development across various sectors.

How to Invest in Scale AI Stock in 2026