Sorry ScaleAI, Mark Zuckerberg investing billions in your company means it’s ‘Good Bye’ from Google, Microsoft and some of the biggest technology companies

Google, the largest customer of AI data-labeling startup Scale AI, is planning to sever ties with the company following Facebook parent Meta’s acquisition of a 49% stake in Scale, valued at $29 billion, according to five sources familiar with the matter. The move, reported by Reuters, has raised concerns among Scale’s major clients, including Microsoft and Elon Musk’s xAI, who are also reportedly reconsidering their partnerships due to fears of proprietary data exposure to a key rival. The shift underscores growing concerns among AI developers about data security and competitive risks as industry giants like Meta deepen their influence in the AI ecosystem.

What is Meta’s investment in ScaleAI