Meta Platforms Inc. Invests $14.8 Billion in Scale AI Amid Regulatory Scrutiny

Meta Platforms Inc. (NASDAQ: META) is making a strategic move in the artificial intelligence (AI) sector by investing $14.8 billion for a 49% stake in Scale AI, a key player in data-labeling services essential for AI model training. This investment marks a pivotal shift in Meta's AI strategy, especially after the underwhelming performance of its Llama 4 model and delays in launching the 'Behemoth' AI flagship model. The deal will also see Scale AI's CEO, Alexandr Wang, joining Meta to lead a new 'superintelligence' lab, alongside a 50-person research team under Mark Zuckerberg's direct supervision.

The timing of this investment raises eyebrows as Meta navigates through regulatory scrutiny from U.S. antitrust authorities, including the FTC and DOJ, under the Clayton Act provisions. This scrutiny is not new for Meta, which has faced similar challenges with its acquisitions of Instagram and WhatsApp. However, proponents of the deal highlight Scale AI's projected revenue doubling to over $2 billion by 2025 and the potential gains for early investors as factors that could justify the investment.

As of June 11, 2025, Meta's stock was trading at $700.45, experiencing a slight decrease of $1.95 (-0.28%) for the day. The stock's intraday trading ranged between $697.72 and $708.54, with a trading volume of approximately 4.8 million shares. This investment in Scale AI represents Meta's boldest strategic pivot in AI to date, signaling the company's commitment to leading in the AI space despite the challenges it faces.

The implications of this deal are significant for the tech industry and investors alike. For Meta, this move could either solidify its position as a leader in AI or attract further regulatory scrutiny. For the broader tech industry, it underscores the increasing importance of AI and the lengths to which companies are willing to go to secure a competitive edge. For investors, the deal presents both opportunities and risks, given Meta's regulatory history and the volatile nature of AI investments.