CloudFactory raises $65 million to prep and process data sets

AI and machine learning algorithms require data. But the bulk of that data is of no use if it isn't first labeled by human annotators. This predicament has given rise to a cottage industry of startups, including Scale AI, which recently raised $100 million for its extensive suite of data labeling services. That's not to mention Mighty AI, Hive, Appen, and Alegion, which together occupy a data annotation tools segment that's anticipated to be worth $1.6 billion by 2025. CloudFactory is yet another vying for attention.