Meta approached Perplexity before massive Scale AI deal

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Meta approached Perplexity earlier  monolithic  Scale AI deal

Meta approached artificial intelligence startup Perplexity AI astir a imaginable takeover bid earlier yet investing $14.3 cardinal into Scale AI, CNBC confirmed connected Friday.

The 2 companies did not finalize a deal, according to 2 radical acquainted with the substance who asked not to beryllium named due to the fact that of the confidential quality of the negotiations.

One idiosyncratic acquainted with the talks said it was "mutually dissolved," portion different idiosyncratic acquainted with the substance said Perplexity walked distant from a imaginable deal.

Bloomberg earlier reported the talks betwixt Meta and Perplexity. Perplexity declined to comment. Meta did not instantly respond to CNBC's petition for comment.

Meta's effort to acquisition Perplexity serves arsenic the latest illustration of Mark Zuckerberg's assertive propulsion to bolster his company's AI efforts amid fierce contention from OpenAI and Google genitor Alphabet. Zuckerberg has grown agitated that rivals similar OpenAI look to beryllium up successful some underlying AI models and consumer-facing apps, and helium is going to utmost lengths to prosecute apical AI talent, arsenic CNBC has antecedently reported.

Read much CNBC reporting connected AI

Meta now has a 49% involvement successful Scale aft its multibillion-dollar investment, though the societal media institution volition not person immoderate voting power. Scale AI's laminitis Alexandr Wang, on with a tiny fig of different Scale employees, volition articulation Meta arsenic portion of the agreement.

Earlier this year, Meta besides tried to get Safe Superintelligence, which was reportedly valued astatine $32 cardinal successful a fundraising circular successful April, arsenic CNBC reported connected Thursday.

Daniel Gross, the CEO of Safe Superintelligence, and erstwhile GitHub CEO Nat Friedman are joining Meta's AI efforts, wherever they volition enactment connected products nether Wang. Gross runs a task superior steadfast with Friedman called NFDG, their combined initials, and Meta volition get a involvement successful the firm.

OpenAI CEO Sam Altman said connected the latest occurrence of the "Uncapped" podcast, which is hosted by his brother, that Meta had tried to poach OpenAI employees by offering signing bonuses arsenic precocious arsenic $100 cardinal with adjacent larger yearly compensation packages.

"I've heard that Meta thinks of america arsenic their biggest competitor," Altman said connected the podcast. "Their existent AI efforts person not worked arsenic good arsenic they person hoped and I respect being assertive and continuing to effort caller things."

--CNBC's Kate Rooney contributed to this report

WATCH: Meta tried to bargain Perplexity earlier Scale AI deal

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