**Meta Acquires 49% Stake in Scale AI for $14.3 Billion**
Meta has completed a significant acquisition, purchasing a 49% stake in data labeling startup Scale AI for $14.3 billion, as reported by sources familiar with the transaction. This deal values Scale AI at an impressive $29 billion. Following the acquisition, Scale AI’s CEO, Alexandr Wang, will join Meta to lead a new team dedicated to advancing artificial general intelligence, marking a pivotal moment in the ongoing competition within Silicon Valley for cutting-edge technology.
Founded in 2004 by Mark Zuckerberg and his Harvard classmates, Meta was initially known as “TheFacebook.” The company dropped “The” from its name after acquiring the Facebook.com domain in 2005 and rebranded as Meta Platforms in 2021. This latest acquisition comes at a time when Meta, with a market capitalization of $1.77 trillion, is facing antitrust scrutiny regarding its previous acquisitions of WhatsApp and Instagram.
### Major Acquisitions by Meta
– **WhatsApp**: Acquired for $19 billion in February 2014, this mobile messaging platform was purchased through a combination of cash and stock.
– **Scale AI**: The recent $14.3 billion deal, announced in June 2025, aims to enhance Meta’s access to high-quality data labeling, which is becoming increasingly vital.
– **Oculus VR**: Acquired for $2 billion in March 2014, Oculus is known for its virtual reality glasses designed for gaming and the growing wearable devices market.
– **Instagram**: This mobile photo and video-sharing platform was acquired for $1 billion in April 2012, also through a cash and stock deal.
– **Kustomer**: A customer relationship management platform acquired for $1 billion in November 2020, which raised $60 million in financing in 2023.
– **CTRL-Labs**: A New York-based startup specializing in non-invasive neural interface technology, acquired for between $500 million and $1 billion in September 2019.
– **LiveRail**: A San Francisco-based video advertising company acquired for $400 million in July 2014.
– **Giphy**: Initially acquired for $400 million in May 2020, Meta faced regulatory challenges from the UK’s Competition and Markets Authority and ultimately decided to sell Giphy to Shutterstock for $53 million in May 2023.
As Meta continues to expand its portfolio, the acquisition of Scale AI is expected to bolster its capabilities in artificial intelligence, positioning the company for future advancements in technology.
### FAQ
**What is Scale AI and why is it important for Meta?**
Scale AI is a data labeling startup that provides high-quality data essential for training AI models. By acquiring a stake in Scale AI, Meta aims to enhance its artificial intelligence initiatives, particularly in the realm of artificial general intelligence.
