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OpenAI to Phase Out Scale AI Work Following Meta Deal

Mint Ahmedabad

|

June 19, 2025

OpenAI was already in the process of winding down its reliance on Scale before Meta

- Bloomberg

OpenAI is phasing out the work it does with data-labeling startup Scale AI, cutting ties with the company days after Meta Platforms Inc. invested billions of dollars in it and hired its founder.

Scale accounted for a small fraction of OpenAI's overall data needs, according to an OpenAI spokesperson who confirmed the firm's decision to phase out work with the company. The ChatGPT maker was already in the process of winding down its reliance on Scale before Meta, an OpenAI competitor, took a 49% stake in the firm, the spokesperson said, adding that OpenAI had been seeking other providers for more specialized data needed to support increasingly advanced artificial intelligence models.

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