Industry News | 6/19/2025

Meta Pursues AI Leaders Daniel Gross and Nat Friedman in Major Deal

Meta Platforms is in advanced negotiations to hire AI investor Daniel Gross and his partner Nat Friedman, indicating a strategic move to enhance its AI capabilities. The potential deal may involve a significant investment in their AI-focused venture capital fund, NFDG, as Meta seeks to strengthen its position in the competitive AI landscape.

Meta Pursues AI Leaders Daniel Gross and Nat Friedman in Major Deal

Meta Platforms is reportedly in advanced discussions to hire Daniel Gross, a prominent investor and entrepreneur in the artificial intelligence (AI) sector. This move reflects Meta's aggressive strategy to secure top talent amid a competitive landscape for AI innovation. The negotiations also involve the potential hiring of Gross's partner, Nat Friedman, the former CEO of GitHub, along with a partial acquisition of their influential venture capital fund, NFDG.

Strategic Importance of the Deal

This development underscores Meta's commitment to enhancing its AI research and product divisions as it competes with industry giants such as Google, Microsoft, and OpenAI. Reports suggest that Meta could spend over a billion dollars to acquire a portion of NFDG's portfolio, highlighting the high value placed on individuals with a proven track record in AI innovation.

Background on Daniel Gross

Daniel Gross has made a name for himself in the tech industry through early entrepreneurial success and strategic investments. He became the youngest founder accepted into the Y Combinator accelerator program at age 18 and co-founded Greplin, which later became Cue. After Apple acquired Cue for a reported $40 million to $60 million in 2013, Gross joined Apple to lead machine learning and search initiatives. In 2017, he became a partner at Y Combinator, where he launched a dedicated AI program and invested in notable companies like Uber, Instacart, and Coinbase.

NFDG and AI Investments

Together with Nat Friedman, Gross has established NFDG, which holds stakes in several key AI startups, including Perplexity and Character.AI. They have also created the Andromeda Cluster, a supercomputer equipped with thousands of Nvidia H100 GPUs, to support their portfolio companies in training AI models. Their commitment to fostering AI innovation is further demonstrated through the AI Grant program, which provides funding and resources to promising AI startups.

Meta's AI Ambitions

Under CEO Mark Zuckerberg, Meta has expressed its ambition to develop artificial general intelligence (AGI) and integrate AI across its platforms, including Facebook, Instagram, and WhatsApp. This strategy aims to enhance user engagement through AI assistants and develop AI-integrated advertising models. Meta's recruitment efforts have included substantial signing bonuses to attract top talent from competitors.

Implications for the AI Industry

The potential hiring of Gross and Friedman could significantly impact both Meta and the broader AI landscape. For Meta, acquiring such high-caliber talent would not only enhance its technical expertise but also provide insights into emerging trends and technologies through their connections in the AI startup ecosystem. This move exemplifies the ongoing "talent war" in the AI sector, where large tech companies are investing heavily to secure the best minds in the field.

In conclusion, Meta's negotiations with Daniel Gross and Nat Friedman mark a crucial step in its pursuit of AI leadership. This potential deal highlights a sophisticated approach to talent acquisition that goes beyond individual expertise, aiming to leverage networks and portfolios that can drive innovation in AI.