AI startup Manus resumes independent operations after China blocks Meta’s $2 billion deal

AI startup Manus has resumed independent operations after Chinese regulators ordered Meta to unwind its $2 billion acquisition of the company, AFP reported on Tuesday.

In August, the Singapore-based AI startup said some users will need to back up data generated on or after December 29, 2025 — the date Meta announced its acquisition of Manus — as part of the separation process.

“This is part of our separation from Meta; we must take this step to comply with regulatory requirements in specific parts of the world,” Manus said in a statement.


The development comes months after Beijing intervened in the deal. Meta had announced in December that it would acquire Manus, a developer of general-purpose AI agents founded in China in 2022 before moving its headquarters to Singapore.

The proposed acquisition quickly came under scrutiny in both China and the US. Chinese authorities examined whether the transaction complied with the country’s rules governing foreign investment and technology transfers.

In April, China’s National Development and Reform Commission (NDRC) ordered the parties to withdraw the transaction, setting off a complex process to unwind the deal.

Also Read: ETtech Explainer: How the Meta-Manus deal came apart, and Tencent moved in

The move comes as Beijing has tightened controls around technology exports and cross-border transactions involving sensitive technologies. China and the US are increasingly competing for AI talent, computing hardware and data as the global race to develop increasingly capable AI systems intensifies.

For Meta, the Manus deal was part of a broader push to strengthen its AI capabilities. The social media giant had planned to integrate Manus’ technology into its consumer and enterprise products as it looks to compete more aggressively with OpenAI, Google and Anthropic.

Meta has also been exploring ways to build a subscription business around AI, making access to advanced AI agents and assistants an increasingly important part of its strategy.