A $14 billion investment from Meta should have been a triumph for Scale AI, but the aftermath has been far more turbulent. Since Meta acquired a 49% stake, the once‑dominant AI training startup has faced pay cuts, talent poaching, internal pivots and growing unease among contractors.
Scale AI Pay Cuts and Client Losses
Some Big Tech clients have even paused work with Scale, wary of partnering with a company now backed by a major competitor. While cofounder Alexandr Wang secured a powerful role at Meta, Scale continues to battle litigation, past security lapses and reputational strain. The situation highlights how, in today’s AI landscape, a deal with one giant can quietly close doors to others.
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