Meta Invests $15B in Scale AI to Compete with OpenAI, Anthropic, and DeepSeek in the AI Race — TFN

Meta has announced a significant investment of nearly $15 billion to acquire a 49% stake in Scale AI, a pivotal player in data labeling and AI training. This move, likened to Meta’s $19 billion WhatsApp acquisition, aims to enhance Meta’s position amid intense competition in the AI landscape. The strategic partnership allows Scale AI to operate independently while providing Meta access to premium data services and expertise. Key aspects include bringing Scale AI’s founder, Alexandr Wang, into Meta’s leadership to head a new superintelligence lab, which will focus on advancing artificial general intelligence (AGI). The investment comes as Meta navigates challenges with its AI developments, particularly following underwhelming results from its Llama 4 model. Scale AI, projected to double its revenue to over $2 billion by 2025, serves an extensive clientele, including major tech firms and government contracts. This deal is crucial for Meta to bolster its AI innovation and maintain competitive viability.

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