Zuckerberg's AI Push Expands: Meta Weighs $10B Stake In Scale AI

Meta Platforms Inc META is considering a multibillion-dollar investment into Scale AI, which helps companies train machine-learning models.

The investment could top $10 billion in value, Bloomberg reported on Monday, citing unnamed sources familiar with the matter.

The startup was last valued at about $14 billion in 2024 in a funding round backed by Meta and Microsoft Corp MSFT.

Also Read: Meta Hits 1 Billion Monthly AI Users, Eyes Future With Subscriptions

Reportedly, Scale AI discussed a tender offer seeking a valuation of up to  $25 billion.

Meta chief Mark Zuckerberg prioritized AI Meta, committing up to $65 billion for fiscal 2025.

Meta reportedly reorganized its AI teams. The new structure will include an AI products team and an AGI Foundations unit.

The AI Products team will concentrate on Meta’s AI assistant, AI Studio, and AI functionalities across Facebook, Instagram, and WhatsApp. Meanwhile, the AGI Foundations unit will be responsible for a range of technologies, including the company’s Llama models and initiatives to advance reasoning, multimedia, and voice capabilities.

Although the company is undergoing restructuring, its AI research division, FAIR (Fundamental AI Research), will continue operating independently of the new organizational setup.

Scale AI, co-founded in 2016 by CEO Alexandr Wang, generated revenue of $870 million in 2024 and expects sales to more than double to $2 billion in 2025.

Meta partnered with Scale AI on a Defense Llama program, a large language model catering to military use.

Price Action: META stock was up 0.6% at $701.92 at last check on Monday.

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