Google Ends Contract with Appen, Key AI Data Partner for Bard and Search

Google has opted to sever ties with Appen, an Australian data company instrumental in training its extensive language model AI tools, including those used in Bard and Search. This decision comes amid growing competition in the development of generative AI tools. Courtenay Mencini, a Google spokesperson, stated, “Our decision to end the contract was made as part of our ongoing effort to evaluate and adjust many of our supplier partnerships across Alphabet to ensure our vendor operations are as efficient as possible."

Appen, unaware of Google's decision, disclosed the contract termination in a filing to the Australian Securities Exchange. Human workers at companies like Appen play a pivotal role in the less appealing aspects of AI training, often being the lower-paid backbone of the industry. These workers, responsible for assessing data quality and AI model responses, have faced challenges, including wage disputes. Last year, Appen employees, part of the Alphabet Workers Union, sought a wage increase from $10 to $15 per hour. While the union secured some wage hikes, layoffs followed, citing business conditions.

Appen's role extends beyond Google, as it has also contributed to training AI models for Microsoft, Meta, and Amazon. The fiscal year 2023 saw Appen generate $82.8 million in revenue from its collaboration with Google alone, out of a total revenue of $273 million in the preceding year.

Mencini emphasized that Google is collaborating with Appen to ensure a smooth transition. The termination of the contract follows the trend of workers in the tech industry advocating for fair wages and ethical practices. Employees at another Google contractor, Accenture, recently joined the Alphabet Workers Union after refusing tasks related to "obscene, graphic, and offensive prompts" for the unreleased Bard chatbot.

The challenges faced by workers in the tech industry extend globally, as illustrated by content moderators in Kenya suing data-labelling firm Sama and its client Meta for allegedly paying $2.20 an hour to view disturbing images and videos.