China probes Meta’s $2 billion AI deal amid reports that its highest-paid employee Alexandr Wang finds Zuckerberg’s micromanagement ‘suffocating’

China has reportedly opened an investigation into Meta’s $2 billion acquisition of artificial intelligence startup Manus, examining whether the deal violates laws governing overseas technology transfers, CNBC reported. The probe adds to growing challenges facing Meta CEO Mark Zuckerberg as the company pours unprecedented sums into artificial intelligence while grappling with internal strains at the top. As in December last year, the Financial Times reported that Meta’s most prominent and high-value hire of 2025, Alexandr Wang, who was brought on to lead the new Meta Superintelligence Labs (MSL), is having some issues with top leadership.

According to CNBC, Chinese authorities are reviewing whether the acquisition complies with regulations related to tech exports and foreign investment. Manus, now headquartered in Singapore, traces its roots to Chinese startup Butterfly Effect and develops AI agents capable of tasks such as writing code, analyzing markets, and processing large datasets.

Meta’s acquisition of Manus

Meta acquired Manus in December as part of its aggressive effort to compete with AI leaders such as OpenAI and Google. The deal fits into a broader strategy that has seen the company invest billions of dollars in artificial intelligence. Manus reportedly reached $100 million in annual recurring revenue less than a year after launching its product.

The Chinese probe comes amid broader geopolitical concerns over who controls advanced AI technology and how it is transferred across borders. As global tech giants race to build more powerful AI systems, the energy demands required to train and run these models continue to rise, placing pressure on power grids and driving up costs in some regions.

'Zuckerberg’s micromanagement' is 'suffocating'

The regulatory scrutiny also coincides with signs of internal unease at Meta, particularly involving Alexandr Wang, the 28-year-old co-founder of Scale AI. Wang joined Meta last year after the company paid more than $14 billion for a 49% stake in his startup Scale AI, reportedly making him Meta’s highest-paid employee and a central figure in Zuckerberg’s AI reboot.

Despite his public role, Wang has privately complained that Zuckerberg’s tight control over Meta’s AI strategy is slowing progress, the Financial Times reported, citing multiple people familiar with the situation. In which Wang has reportedly described ‘Zuckerberg’s micromanagement’ of the Meta’s AI work as ‘suffocating.’

Wang is not alone in feeling the heat

Tensions have also reportedly emerged between Zuckerberg and Nat Friedman, the former GitHub CEO tasked with integrating AI models into Meta’s products. Friedman has faced pressure to deliver quickly, frustrating teams who felt products were being rushed to market to stay ahead of competitors.

The Financial Times cited the rapid rollout of “Vibes,” Meta’s AI-generated video feed, which insiders said was pushed out at breakneck speed to keep pace with OpenAI’s Sora. As leadership pressures mounted, several senior executives have since exited the company.

Wang’s dissatisfaction was one of the signs of turbulence inside Meta, which has been marked by repeated layoffs, senior executive departures, hurried AI rollouts, and massive spending that has unsettled employees and investors alike. Combined with China’s probe into Meta’s $2 billion Manus deal, the developments add to the challenges surrounding Zuckerberg’s all-in push on artificial intelligence.