🚨 BREAKING: Google to Exit $200M Deal with Scale AI

Big shakeup in AI land 🧠💥

According to Reuters, Google—Scale AI’s largest client, is planning to terminate its contract after Meta 👾 announced it’s acquiring a 49% stake in the data-labeling firm.

📉 What Happened?

Google was set to spend $200M in 2025 with Scale to train its Gemini AI model.

Now, it’s reportedly in talks with alternative vendors 🤝.

Meta’s move doubled Scale AI’s valuation from $14B → $29B 🚀

Google fears handing sensitive data to a rival-owned vendor.

💰 Financial Fallout:

Scale made $870M in 2024 revenue

Google alone brought in ~$150M last year 😳

Losing Google = serious hit to Scale’s bottom line

⚠️ More Fallout Brewing:

Microsoft is re-evaluating its partnership

xAI (Elon Musk) is expected to exit

OpenAI has already scaled back (pun intended)

🔐 Why the Panic?

Labeling partners like Scale get access to:

🔬 Prototype tools

📂 Private datasets

💡 R&D roadmaps

With Meta now owning half of Scale, rivals worry about intellectual leaks and competitive exposure.

🏃‍♂️ The Industry Response:

Google is accelerating the shift to neutral vendors

Some labs are opting for in-house data labelers

Startups like Turing and Mercor see rising demand 📈

🗣️ “Neutrality is no longer optional — it’s essential.”

– Jonathan Siddharth, CEO of Turing

💡 TL;DR:

Meta’s stake in Scale AI has spooked major rivals. Google’s exit could trigger a broader exodus as firms scramble to secure their data pipelines. 🛡️ #GoogleDocsMagic #CryptoClause