OpenAI is winding down its work with Scale AI, whose founder is joining Meta

OpenAI is officially concluding its partnership with Scale AI, an artificial intelligence startup that recently garnered a multibillion-dollar investment from Meta. This strategic move comes as Scale AI's founder transitions to Meta to spearhead the company's AI initiatives. Scale AI has been instrumental in assisting prominent tech firms, including OpenAI, in preparing data essential for training advanced AI models. However, according to statements from an OpenAI representative, the organization has been gradually distancing itself from Scale AI over the past six to twelve months. The shift is driven by OpenAI's desire to collaborate with alternative data providers who are aligned with the latest innovations and understand the evolving requirements of AI models. Despite speculation, the decision to end the partnership with Scale AI was not prompted by Meta's recent acquisition, the spokesperson clarified. Bloomberg was the first to report on OpenAI's decision to scale back its relationship with the startup. In response to inquiries, Scale AI has yet to release a public statement. Meta's significant $14.3 billion investment in Scale AI grants the tech giant a 49% stake in the startup, though it will not have any voting rights, according to a spokesperson for Scale AI. In a recent memo, Alexandr Wang, the founder of Scale AI, informed his team of his departure to Meta, along with a select group of employees. As part of this transition, Scale AI has appointed Jason Droege, the current chief strategy officer, as the new CEO. This move marks another effort by Meta CEO Mark Zuckerberg to enhance his company's AI capabilities amidst fierce competition from industry leaders like OpenAI and Google’s parent company, Alphabet. In related news, OpenAI's CEO Sam Altman revealed in a recent podcast episode that Meta has been actively attempting to recruit OpenAI employees by offering signing bonuses that can reach up to $100 million, coupled with substantial annual compensation packages. Despite Meta's substantial investments in AI development, Zuckerberg has expressed dissatisfaction with the company's progress, particularly following the mixed reviews of its latest Llama AI models. Scale AI has reassured clients that the new developments will not affect its customer relationships and that Meta will not have access to sensitive business data.