Manus to resume independent operations after China blocks $2 billion Meta acquisition

Aug 11, 2026

AI startup Manus is resuming independent operations after Chinese regulators blocked its $2 billion acquisition by Meta Platforms Inc. The National Development and Reform Commission ordered the transaction unwound in April 2026 amid rising geopolitical tensions. To comply with regulatory demands, Manus is separating its operations from Meta, erecting internal firewalls, and deleting user data generated since December 2025. Meanwhile, Manus is exploring a $1 billion buyback and is in talks with Tencent to secure new backing.

Meta-Manus acquisition blocked by China

▪Meta Platforms Inc. announced its acquisition of the artificial intelligence startup Manus on December 29, 2025.
▪The artificial intelligence startup Manus announced on August 11, 2026, that it will soon resume operating as an independent company following the unwinding of its acquisition by Meta Platforms Inc.
▪China's National Development and Reform Commission ordered Meta Platforms Inc. in April 2026 to unwind its $2 billion acquisition of the artificial intelligence startup Manus.

Chinese tech investment scrutiny

▪Chinese regulators blocked the Meta Platforms Inc. acquisition of Manus over concerns that China could lose valuable technology to a geopolitical rival.
▪The Chinese government issued a directive barring major technology companies, including ByteDance and Moonshot, from accepting American capital without regulatory approval.

Manus data deletion requirements

▪Manus advised affected users that they will be notified via the Manus app and email to back up their data using provided data-protection tools.
▪Meta Platforms Inc. erected an internal firewall and halted data sharing with Manus in May 2026 as the two companies completed their operational separation.
▪Manus warned users on August 11, 2026, that data generated on or after December 29, 2025, will be deleted later in August 2026 as part of its regulatory compliance and separation from Meta Platforms Inc.

US-China AI competition

▪Meta Platforms Inc. had planned to integrate Manus's desktop-automation AI agent technology into its consumer and enterprise products to compete with Google, Anthropic, and OpenAI.
▪Beijing has tightened tech export controls on cross-border deals as the United States and China compete for talent, hardware, and data in an intensifying artificial intelligence race.

Manus independent funding efforts

▪Chinese gaming and internet giant Tencent has been in talks to become the largest shareholder of the artificial intelligence startup Manus.
▪The founders of Manus have explored raising approximately $1 billion to finance a buyback to meet Chinese government demands to unwind the Meta Platforms Inc. transaction.