Post by : Jyoti Gupta

Photo:AP

Scale AI has reaffirmed its independence following a major investment from Meta Platforms, which recently acquired a 49% stake in the data-labeling startup. Interim CEO Jason Droege, speaking in one of his first interviews since taking over in mid-June, stated that Meta will not receive any special privileges despite its $14.3 billion investment.

“There’s no preferential access that they have to anything,” said Droege. “They are a customer, and we will support them like we do our other customers. That’s the extent of the relationship.”

Meta has been a Scale AI client since 2019. The investment followed the departure of Scale’s co-founder and former CEO, Alexandr Wang, who left to lead a new superintelligence unit at Meta. While Wang remains on Scale’s board, Droege confirmed that Meta will not gain any additional board representation. He also emphasized that customer data privacy policies remain unchanged.

“We have elaborate procedures to ensure the privacy and security of our customers—their IP, their data—and that it does not make its way across our customer base,” Droege added.

Droege, formerly Scale’s Chief Strategy Officer and previously an executive at Uber and a partner at Benchmark, is now leading the company through a competitive and fast-changing AI industry landscape.

In 2024, Scale AI generated approximately $870 million in revenue and is aiming to hit $2 billion in 2025. While data labeling remains core to its business, the company is expanding its application services built on top of foundational AI models. These services, already generating nine-figure revenue, cater to Fortune 500 companies across sectors like healthcare, education, and telecom. The U.S. government is also among its key clients.

As more companies enter the AI data service space—including Turing, Labelbox, and Invisible Technologies—some customers have begun distancing themselves from Scale, citing concerns over Meta’s influence. Among them are OpenAI and Google, which have reportedly ended partnerships.

Despite the competition and concerns, Droege made it clear: Scale AI will continue supporting a broad range of AI models and will not prioritize Meta’s Llama models.

Artificial Intelligence