OpenAI is scaling back its contract relationship with Scale AI, the data labeling startup recently acquired by social media giant Meta.
Bloomberg reported on Thursday that the ChatGPT developer is gradually reducing its reliance on data from this startup, a move that comes just days after Meta announced its $14.8 billion acquisition of a 49% stake in Scale AI.
This acquisition is the second largest deal in Meta's history, and Scale AI CEO Alexandr Wang will join Meta's experimental AI project team. The two companies officially announced this collaboration on June 12.
Scale AI focuses on providing labeled data for training and optimizing artificial intelligence (AI) models. Founded in 2016 and backed by over 100 investors, the startup currently provides data services to well-known AI companies such as Anthropic, Cohere, and Adept. According to PitchBook, the company successfully raised $100 million in its Series C funding round in 2019.
Reports indicate that Google is also gradually terminating its contract relationship with Scale. Reuters analysis suggests that this decision stems from concerns that the deal could allow Meta to gain access to key information about competitors' AI development.
A spokesperson for OpenAI told Bloomberg that the company has begun to gradually reduce its collaboration with Scale over the past year, seeking more specialized data sources for its AI models. He noted that the startup accounts for only a small portion of OpenAI's data needs.
In response to the transaction, Scale's interim CEO Jason Droege emphasized in a statement, "Scale will undoubtedly remain an independent company," adding, "Our commitment to protecting customer data has not changed."
OpenAI is currently seeking partnerships with other data providers, including emerging industry firms like Mercor.
Bloomberg reported that Scale initially hired "a large number of contractors" over the past few years to label images and text for early AI systems. Subsequently, the company shifted to recruiting more highly educated professionals to assist in developing more complex AI models.
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Original article: “Reports say OpenAI terminates partnership with Scale AI after Meta deal”
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