Meta Scales Up! Zuckerberg Eyes $10 Billion AI Investment to Stay Ahead
Updated: June 08, 2025 13:22
Image Source: PYMNTS.com
Meta Platforms Inc. is reportedly in discussions to make a multibillion-dollar investment in Scale AI, a leading artificial intelligence startup specializing in data labeling services. The financing could exceed $10 billion, making it one of the largest private company funding events in history.
1. Meta’s Biggest AI Investment Yet
This would be Meta’s largest-ever external AI investment, marking a strategic shift from its usual in-house AI development approach.
The move aligns with Meta CEO Mark Zuckerberg’s AI-first vision, with the company planning to spend up to $65 billion on AI projects in 2025.
2. Scale AI’s Role in the AI Boom
Scale AI, founded in 2016 by Alexandr Wang, provides data labeling services to help companies train machine-learning models.
The startup was last valued at $14 billion in 2024, with backing from Meta and Microsoft.
Earlier this year, Bloomberg reported that Scale AI was in talks for a tender offer valuing it at $25 billion.
3. Meta’s AI Expansion & Industry Competition
Meta’s AI chatbot, available on Facebook, Instagram, and WhatsApp, is used by 1 billion people per month.
The company aims to make Llama the industry standard, competing with Microsoft-backed OpenAI and Amazon-supported Anthropic.
Unlike its rivals, Meta does not have a cloud business, making the format of its investment in Scale AI unclear.
4. Defense & AI Collaboration
Meta recently partnered with defense contractor Anduril Industries to develop AI-powered military products, including augmented reality helmets.
Scale AI is also working with the U.S. government, further strengthening its position in defense technology applications.