OpenAI is cutting ties with Scale AI, the startup Meta just poured $14.3 billion into and snagged its founder. The move marks a sharp shift for OpenAI, which used Scale AI data services to prep training datasets for its models.
OpenAI has been scaling back on Scale AI over the past 6 to 12 months. An OpenAI spokesperson said the decision isn’t about Meta’s investment or partnership with Scale AI. Instead, OpenAI is shifting toward other data providers that better match the latest AI model needs.
Meanwhile, Google is also reportedly dropping Scale AI after the Meta deal, though it’s staying silent on the matter.
Scale AI’s founder Alexandr Wang is heading to Meta, taking a few employees along. Jason Droege, previously the chief strategy officer, is stepping in as Scale AI’s new CEO.
Meta’s deal gives it a 49% stake in Scale AI but no voting control, according to Scale AI. Meta CEO Mark Zuckerberg is betting big on Wang to fast-track AI efforts, especially after lukewarm feedback on Meta’s Llama models.
OpenAI CEO Sam Altman called out Meta on the recent “Uncapped” podcast, revealing Meta has aggressively tried to poach OpenAI talent with signing bonuses as high as $100 million. The AI talent race is intensifying.
Scale AI says Meta’s investment and Wang’s move won’t affect its products or customers — and Meta won’t see Scale AI business data.
Watch Meta’s Scale AI deal explained here: