DOD grows Scale AI agreement to $500M

Scale AI's corporate headquarters in San Francisco. Photo by Smith Collection / Gado / Getty Images
Demand across the Defense Department has exceeded the scope of the original contract.
The Defense Department has increased the ceiling of a contract with Scale AI from $100 million to $500 million only eight months after first making the award for access to the company’s product line.
Under the production Other Transaction Agreement, Scale AI is working with DOD’s Chief Digital and Artificial Intelligence Office on efforts to incorporate computer vision and generative AI decision support technologies in military planning and operations.
Scale AI said Wednesday that demand across the department has exceeded the original ceiling, which necessitated the fivefold increase.
DOD components can use the OTA to initiative their own project agreement at pre-negotiated, volume-based pricing and have a portion of it co-funded by the CDAO office.
The OTA covers access to Scale AI’s machine learning operations platform that supports computer vision models, a generative AI platform for deploying models securely, and decision-making tools for defense and intelligence operators.
Scale AI was founded in 2016 and counts the parent company of Facebook as a major investor. Meta Platforms acquired its 49% non-voting stake in June 2025.