US EditionScale AI Lays Off 14% Staff After Meta Gains 49% Stake
SAN FRANCISCO COUNTY, CALIFORNIA, JUL 16 – Scale AI is cutting 14% of its workforce and ending contracts with 500 contractors after rapid expansion and client losses following Meta’s $14.3 billion investment, the company said.
- Meta invested $14.3 billion in Scale AI, resulting in the company laying off 200 full-time employees, or 14% of its workforce.
- Interim CEO Jason Droege stated that Scale AI scaled its generative AI capacity "too quickly" and created excessive bureaucracy.
- Despite layoffs, Scale AI plans to hire new workers in sectors like enterprise, public sector, and international public sector later this year.
- Droege expressed gratitude to the employees being laid off, acknowledging their valuable contributions and dedication to the company.
35 Articles
35 Articles
Scale AI cuts 200 employees on the heels of Meta investment
AI data-labeling company Scale AI is laying off 200 employees, following a dramatic month with Meta. Scale AI is cutting 14 percent of its workforce, and will also end work with 500 global contractors, Bloomberg reported. This comes after Scale AI received $14.3 billion of investment from Meta and simultaneously lost its CEO Alexandr Wang to Meta's superintelligence group as part of the deal. According to an internal memo from Scale AI's interim…
Scale AI lays off 200 staff, cuts 500 contractors after $14.3B Meta deal and CEO departure - Tech Startups
Just one month after Meta invested $14.3 billion in the startup and hired away its founder and CEO, Alexandr Wang, Scale AI is laying off a significant chunk of its workforce and cutting ties with hundreds of contractors. The San […] The post Scale AI lays off 200 staff, cuts 500 contractors after $14.3B Meta deal and CEO departure first appeared on Tech Startups.
SF AI startup Scale cuts 14% of staff after Meta buyout
SAN FRANCISCO (KRON) -- A San Francisco artificial intelligence startup that was recently invested in by Meta just laid off 14% of its staff, according to multiple reports. Scale AI, which received a $14.3 billion investment from the Facebook parent company last month, will be cutting 200 full-time employees and 500 contractors, according to a report in Bloomberg. The blockbuster deal that saw Meta take a majority interest in Scale AI also saw t…
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