Scale AI is suing a former employee and rival Mercor, alleging they tried to steal its biggest customers  

Scale AI is suing a former employee and rival Mercor, alleging they tried to steal its biggest customers  

Scale AI, which helps tech companies prepare data to train their AI models, filed a lawsuit against one of its former sales employees and its rival Mercor on Wednesday. The suit claims the employee, who was hired by Mercor, “stole more than 100 confidential documents concerning Scale’s customer strategies and other proprietary information,” according to…

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Google reportedly plans to cut ties with Scale AI

Google reportedly plans to cut ties with Scale AI

Meta’s big investment in Scale AI may be giving some of the startup’s customers pause. Reuters reports that Google had planned to pay Scale $200 million this year but is now having conversations with its competitors and planning to cut ties. Microsoft is also reportedly looking to pull back, and OpenAI supposedly made a similar…

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#Scale AI is being investigated by the US Department of Labor

#Scale AI is being investigated by the US Department of Labor

The U.S. Department of Labor (DOL) is investigating the data-labeling startup Scale AI for compliance with the Fair Labor Standards Act, TechCrunch has learned. That’s a federal law that regulates unpaid wages, misclassification of employees as contractors, and illegal retaliation against workers. The investigation has been active since at least August 2024, a document seen…

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