Meta is reportedly in talks to invest billions of dollars into Scale AI. According to Bloomberg, the deal could exceed $10 billion, marking the largest external AI investment ever made by Facebook’s parent company and one of the biggest financing events in the history of private companies.

Scale AI, led by CEO Alexandr Wang (pictured above), provides data labeling services to companies like Microsoft and OpenAI to help them train their AI models. Much of the labeling work is performed by contractors. Notably, the Department of Labor recently closed an investigation into whether the company misclassified and underpaid its workers.

Bloomberg reports that the company generated $870 million in revenue last year and is projected to reach $2 billion this year.

Meta is already an investor in Scale AI's $1 billion Series F funding round, which valued the company at $13.8 billion. Additionally, Scale AI has developed Defense Llama, a large language model designed for military use, based on Meta’s Llama 3.