Estimated at close to $11 billion, the ten plants have drawn criticism that consumers might bear costs after the 15-year contract period if Meta’s energy requirements diminish.
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Early labor skirmishes are already happening, mostly in California, which has some of the most aggressive rules around classifying platform workers. Three class-action lawsuits have been filed against Mercor in the past six months. (Similar suits were previously filed against Surge AI and Scale AI, which is settling.) The lawsuits all accuse the companies of misclassifying workers as independent contractors given the “extraordinary control” they exert over them. This is “an entirely new kind of work,” one that the company trains people to do and that cannot be done except on the company’s platform. Workers have so little visibility into what they’re working on that one person, alleges a suit filed in December, accepted a Mercor project only to be tasked with recording himself reading sexually explicit scripts. Once he discovered this, the worker risked deactivation if he abandoned the project, forcing him to “choose between being paid and being humiliated.”
Paul Brown, operating potato fields near Eccleshall, Staffordshire, reported procurement expenses for fresh inventory have jumped as much as 40%, creating uncertainty about future harvest volumes.