Google Ditches Scale AI—Because Who Needs $200 Million Annotated Data Anyway?

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Google is reportedly preparing to sever its relationship with Scale AI despite previously planning to pay the startup $200 million this year.

The move comes as Meta’s massive $14.3 billion investment for a 49% stake in Scale raises eyebrows among Scale’s other high-profile customers.

Microsoft is also allegedly rethinking its ties, while OpenAI reportedly reduced its reliance on Scale months ago.

Scale AI’s largest clients include generative AI companies, self-driving car firms, and the U.S. government, all seeking specialized data annotation services.

Google and Scale both declined to comment on their relationship, though Scale insists its business remains strong and independent.

The reported shake-up follows Meta’s appointment of Scale CEO Alexandr Wang to spearhead its “superintelligence” ambitions.

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