Media Reports: A mid-tier data provider may have been involved in the creation of Meta's Muse. Its stock is rising

Hunterbrook Media believes that mid-cap company Innodata—whose business model revolves precisely around training third-party models—is likely one of the entities behind the training of “Muse,” the personal AI agent developed by Meta, the owner of Facebook and Instagram. It reported that Hunterbrook Capital, a fund affiliated with it, has taken a long position in Innodata stock. Following this news, the company’s stock price soared by nearly 15% on September 22.

Innodata was likely among the companies that helped Meta train its AI agent, Muse, according to an investigation by Hunterbrook Media. This is part of the Hunterbrook project, which—in addition to its investigative journalism team—includes the activist hedge fund Hunterbrook Capital.

Journalists reached their conclusion regarding Innodata’s role in the development of Muse after interviewing former employees of the mid-cap company, analyzing its job postings, and reviewing public statements by top executives. Specifically, former employees told the editorial team that Innodata had worked closely with Meta’s artificial intelligence division on numerous projects for many years. They believe that this collaboration continued even after Meta acquired the mid-cap company’s competitor, Scale AI, this past summer. This is suggested, in particular, by a statement made in August 2026 by Innodata CEO Jack Abuhoff, according to which the company became a participant in “a large-scale new program from its largest client dedicated to agent personalization.” Hunterbrook Media believes that based on the description, this sounds like Muse; the publication also concludes that Meta is indeed Innodata’s largest client.

The IT giant announced the launch of its AI agent, Muse, on September 8; in less than two weeks, the app of the same name—Muse—through which this tool is accessible became the most popular app on Apple’s App Store. Journalists believe that the launch of the AI agent may be just the beginning for Innodata. Their theory is that the mid-cap company will receive royalties from every Muse update. “The point is that a product that Meta is constantly improving will likely require multiple cycles of training, testing, and user feedback,” the article states.

Journalists acknowledge that not everything is going smoothly at Innodata. Activist investors— Wolfpack Research and J Capital —have taken short positions in the company’s stock because they are skeptical of its capabilities in the field of artificial intelligence. In addition, during a conference call discussing its latest quarterly results, Innodata’s management acknowledged the possibility of a slowdown in revenue growth compared to the previous quarter. In April–June, revenue grew by 58% to $92.1 million.

However, these factors did not prevent Hunterbrook Capital from opening a long position in Innodata shares, according to the article. The size of the position is not specified in the article.

Although neither Meta nor Innodata has confirmed Hunterbrook’s report, the mid-cap stock rose nearly 15% on September 22, to $70. In premarket trading on September 23, the stock is also rising.

Three Wall Street analysts are tracking Innodata's performance—and all of them recommend buying its stock. The average price target is $123.7, which is nearly 76% higher than the stock's most recent closing price.