09:16 AM EDT, 06/16/2025 (MT Newswires) -- Alphabet's (GOOG, GOOGL) Google ( GOOG ) is planning to sever ties with Scale AI, where it is the largest customer, after reports that Meta Platforms ( META ) is acquiring a 49% interest in Scale AI, Reuters reported Friday, citing five sources familiar with the matter.

One of the sources reportedly said that the search giant had planned to pay Scale AI about $200 million this year for human-labeled training data essential in the development of artificial intelligence models.

A Scale AI spokesperson said its business continues to be strong, but the company didn't comment on specifics with Google ( GOOG ), Reuters reported.

Microsoft ( MSFT ) and Elon Musk's xAI, which are also Scale AI customers, are also looking to back away, one of the sources reportedly said.

Microsoft ( MSFT )-backed OpenAI decided to pull back several months ago, Reuters reported, citing sources familiar with the matter. OpenAI's chief financial officer said Friday that they will continue to work with Scale AI, according to the report.

Google ( GOOG ), Scale AI, Microsoft ( MSFT ), OpenAI and xAI didn't immediately respond to requests for comment from MT Newswires.

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