Latest news with #ScaleAI
Telegraph
an hour ago
- Business
- Telegraph
Zuckerberg targets UK defence deals
Mark Zuckerberg is targeting British defence deals after investing billions of pounds in an artificial intelligence business that is courting Britain's national security agencies. Meta has taken a $14bn (£10.4bn) stake in Scale AI, a Silicon Valley start-up that counts the Pentagon as a key customer, working with the US Airforce and US Army. Scale AI, which was founded by 28-year-old billionaire Alexandr Wang, is now seeking to build ties with the British Government and is hiring sales staff with 'experience focused on the Ministry of Defence and intelligence community' as it expands in London. In March, Scale AI revealed a deal with the Pentagon to work on a project dubbed 'Thunderforge'. The programme will see Scale AI embed AI bots into the US military's planning and frontline operations. Meta's investment in Scale AI marks Mr Zuckerberg's latest foray into defence. The Facebook owner recently signed an agreement to work with the US military on advanced headsets for frontline soldiers. It has also made its most advanced AI product, known as Llama, available for 'national security uses by the US and its closest allies'. After years of demurring from military work, Silicon Valley is increasingly embracing defence as AI becomes one of the key battlefields between the West and its adversaries, China and Russia. Mr Wang has called for the US to back the AI industry and spoken of the need to 'win the AI war' against Beijing. Last year, ChatGPT developer OpenAI signed a deal with defence manufacturer Anduril to develop counter-drone systems. Daniel Ek, the Spotify billionaire, last week confirmed a major investment in Helsing, a German drone-maker. Launched in 2016 by Mr Wang, Scale AI was last week valued at $29bn after Facebook-owner Meta took a 49pc stake in the business. It opened a UK office last year and has been pursuing public sector contracts. Scale AI is a major supplier to other AI laboratories such as OpenAI. The business is known for providing data labelling and services that help other technology businesses fine-tune their AI technology. In a submission to MPs last year, Scale AI said it planned to 'explore how we can support the UK's defence objectives in order to ensure that the UK defence sector is not just keeping up with technological advances in the field, but rather leading the way forward'. In February, Mr Wang, its chief executive, met Sir Keir Starmer, Emmanuel Macron and Narendra Modi. He was also invited to Donald Trump's inauguration in January. The UK's Strategic Defence Review, published this month, set out plans for Britain to ramp up defence spending with a focus on AI. Last year, Scale AI secured its first public contract with the British Government, working with the AI Security Institute on a project exploring whether AI bots can deceive people. Meta's major investment in Scale AI has prompted fears from some of its biggest customers over Mr Zuckerberg's influence over the business. It was reported that Google and OpenAI had paused work with Scale in the wake of the deal. Last week, Jason Droege, Scale AI's interim chief executive, insisted it 'remains, unequivocally, an independent company' and said Meta would have no access to information about rivals. A Scale AI spokesman said: 'Scale remains an independent company. We're actively engaging with the UK government, demonstrating how our AI solutions can enhance operations across various departments, including both civilian and defence.'
Globe and Mail
11 hours ago
- Business
- Globe and Mail
Meta Platforms (META) Reportedly Held Acquisition Talks with Perplexity AI
Meta Platforms (META) reportedly held acquisition talks with Perplexity AI, an artificial intelligence search startup, before ultimately deciding to invest heavily in another AI company, Scale AI. According to Bloomberg, the discussions between Meta and Perplexity did not result in a deal, and both companies walked away without pursuing the acquisition. Neither Meta nor Perplexity have commented publicly on the matter. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Instead, Meta announced earlier this month that it would invest $14.3 billion in Scale AI, which allowed it to acquire a 49% stake in the company and value it at over $29 billion. As part of the deal, Scale's CEO Alexandr Wang will join Meta to lead its new 'superintelligence' division, which focuses on developing artificial general intelligence (AGI). For context, AGI refers to AI systems that can understand, learn, and apply knowledge across a wide range of tasks at a human-like level of intelligence. This move highlights Meta's shift toward building more advanced AI systems that go beyond narrow task-based models. Founded in 2016, Scale AI helps train generative AI models by connecting them with a large network of human experts. Meta's significant investment in the company shows that CEO Mark Zuckerberg is determined to strengthen the company's position in the AI market. And Zuckerberg is not the only one, as many other tech giants have invested heavily in AI startups ever since Microsoft's blockbuster deal with OpenAI in 2023. Is Meta a Buy, Sell, or Hold? Turning to Wall Street, analysts have a Strong Buy consensus rating on META stock based on 42 Buys, three Holds, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average META price target of $707.16 per share implies that shares are almost fairly valued. See more META analyst ratings
Yahoo
16 hours ago
- Business
- Yahoo
Meta Discussed Buying Perplexity Before Investing in Scale
(Bloomberg) -- Meta Platforms Inc. held discussions with artificial intelligence search startup Perplexity AI Inc. about a possible takeover before moving ahead with a multibillion-dollar investment in Scale AI, according to people familiar with the matter. Security Concerns Hit Some of the World's 'Most Livable Cities' One Architect's Quest to Save Mumbai's Heritage From Disappearing JFK AirTrain Cuts Fares 50% This Summer to Lure Riders Off Roads NYC Congestion Toll Cuts Manhattan Gridlock by 25%, RPA Reports Taser-Maker Axon Triggers a NIMBY Backlash in its Hometown The two companies couldn't come to an agreement and decided not to pursue the deal, said the people, who asked not to be named as the details of the talks aren't public. The financial terms under discussion could not be learned. Perplexity recently closed a new round of funding at a $14 billion valuation. Meta also attempted to hire Perplexity Chief Executive Officer Aravind Srinivas to join the social media company's new 'superintelligence' team, which is focused on building more powerful AI systems, the people said. The talks with Meta, which have not previously been reported, highlight Meta CEO Mark Zuckerberg's willingness to use deals and big hires to catch up in the AI race. The talks took place before Meta finalized a $14.3 billion investment in Scale AI that gives it a 49% stake in the data-labeling startup. Meta and Perplexity didn't respond to requests for comment. Founded in 2022, Perplexity has emerged as one of the most prominent startups using generative AI to rethink core internet services. Perplexity is taking on Alphabet Inc.'s Google by offering an AI tool that summarizes search results, lists citations for its answers and helps users refine their queries to get the best responses. The startup is also developing an AI-powered web browser. Frustrated with the pace of Meta's AI development, Zuckerberg is making a concerted push to poach top AI talent from across the industry with lucrative pay packages. Meta has succeeded in hiring Scale AI's former CEO Alexandr Wang, as well as top researchers from Google DeepMind and Sesame AI Inc. Not everyone is jumping to join Meta, however. OpenAI CEO Sam Altman said in a podcast this week that some on his staff had been approached by Meta with offers of $100 million signing bonuses and even bigger compensation packages, but had declined to join the company. Meta has been in talks with former GitHub CEO Nat Friedman to recruit him to the new team, according to people familiar with the matter. The company has also been working on hiring Daniel Gross, the CEO of Safe Superintelligence, a research lab founded by former OpenAI chief scientist Ilya Sutskever, the person said. Meta has also held early discussions for a computing deal in which Safe Superintelligence would use Meta's data center infrastructure, the person said. Representatives for Safe Superintelligence did not immediately respond to request for comment. Other Big Tech firms, including Google and Inc, have tried to establish themselves as the backbone of the AI ecosystem by providing chips and cloud computing resources to artificial intelligence startups. Meta has not gone this route to date. --With assistance from Julia Love. (Story updated with new details on Meta's hiring efforts starting in the third paragraph.) Luxury Counterfeiters Keep Outsmarting the Makers of $10,000 Handbags Ken Griffin on Trump, Harvard and Why Novice Investors Won't Beat the Pros Is Mark Cuban the Loudmouth Billionaire that Democrats Need for 2028? The US Has More Copper Than China But No Way to Refine All of It Can 'MAMUWT' Be to Musk What 'TACO' Is to Trump? ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Time of India
a day ago
- Business
- Time of India
Before investing billions in Scale AI, Facebook-parent Meta talked to Perplexity; ‘two versions' of why the talks failed
Facebook-parent Meta considered acquiring Perplexity AI before its multi-billion-dollar investment in Scale AI , a report claims. This development comes as Apple is also reportedly pursuing an acquisition of the AI startup led by Desi CEO Aravind Srinivas . According to a report by CNBC, sources familiar with the confidential negotiations, who requested anonymity, stated that a deal between Meta and Perplexity AI was never finalised. One individual noted the discussions were "mutually dissolved," while another indicated that Perplexity chose to walk away from the potential acquisition. Meta's move to acquire Perplexity comes amidst its CEO Mark Zuckerberg 's continued push to advance the company's AI capabilities as competition from OpenAI and Google-parent Alphabet grows. How Meta is pushing harder to lead the AI race As per the CNBC report, Zuckerberg is increasingly concerned that competitors are ahead in both core AI models and consumer apps, prompting Meta to pursue top AI talent aggressively. Following a multibillion-dollar investment, Meta now holds a 49% stake in Scale AI, though it has no voting rights. As part of the deal, Scale AI founder Alexandr Wang and a few team members will join Meta. Earlier this year, Meta also attempted to acquire Safe Superintelligence , reportedly valued at $32 billion during an April funding round. Daniel Gross, the CEO of Safe Superintelligence, and former GitHub CEO Nat Friedman will now contribute to Meta's AI projects under Wang. Gross and Friedman also run a venture capital firm, NFDG, in which Meta is expected to acquire a stake as well. Recently, at the 'Uncapped' podcast, OpenAI CEO Sam Altman revealed that Meta had tried to poach OpenAI staff by offering signing bonuses up to $100 million, with even higher annual compensation packages. 'I've heard that Meta thinks of us as their biggest competitor. Their current AI efforts have not worked as well as they have hoped, and I respect being aggressive and continuing to try new things,' Altman said on the podcast. World Music Day 2025: Tech That Changed How We Listen to Music AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Business Insider
a day ago
- Business
- Business Insider
Meta Platforms (META) Reportedly Held Acquisition Talks with Perplexity AI
Meta Platforms (META) reportedly held acquisition talks with Perplexity AI, an artificial intelligence search startup, before ultimately deciding to invest heavily in another AI company, Scale AI. According to Bloomberg, the discussions between Meta and Perplexity did not result in a deal, and both companies walked away without pursuing the acquisition. Neither Meta nor Perplexity have commented publicly on the matter. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Instead, Meta announced earlier this month that it would invest $14.3 billion in Scale AI, which allowed it to acquire a 49% stake in the company and value it at over $29 billion. As part of the deal, Scale's CEO Alexandr Wang will join Meta to lead its new 'superintelligence' division, which focuses on developing artificial general intelligence (AGI). For context, AGI refers to AI systems that can understand, learn, and apply knowledge across a wide range of tasks at a human-like level of intelligence. This move highlights Meta's shift toward building more advanced AI systems that go beyond narrow task-based models. Founded in 2016, Scale AI helps train generative AI models by connecting them with a large network of human experts. Meta's significant investment in the company shows that CEO Mark Zuckerberg is determined to strengthen the company's position in the AI market. And Zuckerberg is not the only one, as many other tech giants have invested heavily in AI startups ever since Microsoft's blockbuster deal with OpenAI in 2023. Is Meta a Buy, Sell, or Hold? Turning to Wall Street, analysts have a Strong Buy consensus rating on META stock based on 42 Buys, three Holds, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average META price target of $707.16 per share implies that shares are almost fairly valued.
