Manus resumes solo operations after $2B Meta deal collapse

Chinese-founded AI startup Manus announced on Tuesday that it has formally resumed independent operations, completing a months-long separation from Meta Platforms ↗ 1.08% after Beijing blocked the company's $2 billion acquisition in April.

The company's founding team will continue to lead Manus as an "independent agent lab," the firm said in a blog post, calling the move the start of its "next chapter."scmp+1

A Deal Undone by Beijing

Meta announced its acquisition of Manus in late December 2025, but the deal quickly drew scrutiny from Chinese regulators. In January 2026, China's National Development and Reform Commission launched an investigation into potential national security concerns and export control violations. By April, the NDRC issued a one-line directive prohibiting foreign investment in Manus and requiring "the parties involved to withdraw the acquisition transaction."dw+1

The block stemmed in part from the fact that Meta and Manus did not notify Chinese officials before finalizing their agreement, even though Manus had previously received NDRC approval to relocate from China to Singapore, according to the Financial Times as reported by Forbes. The NDRC reportedly summoned the startup's founders and advised them not to leave China until the review concluded.forbes

By June, Meta had completed an operational split, erecting a firewall between the two companies and halting all data sharing, Bloomberg reported. On August 11, Manus formally announced it would resume independent operations, with Reuters reporting that some user data would be deleted as part of the separation.bloomberg+1

Data Deletion and User Fallout

The transition was not seamless. Three weeks before Tuesday's announcement, Manus notified users that data generated on or after December 29, 2025 — the date the Meta deal closed — would be erased "to comply with regulatory requirements in specific parts of the world." The deletion took place over August 23-24, with a restoration portal opening shortly after.explainx+1

"We know this took you additional time and effort, and we are very grateful for your patience and trust," the company said on Tuesday.scmp

Precedent for Cross-Border Tech Deals

The collapse of the Meta-Manus deal has drawn attention as a potential precedent for global transactions involving Chinese-founded technology companies. Analysts say Beijing's intervention reflects an expanding definition of national security under President Xi Jinping that increasingly encompasses AI and other advanced technologies. The episode underscores the regulatory risks facing cross-border deals at a time of deepening US-China tensions over technology.cnbc

Launched in March 2025, Manus develops autonomous AI agents capable of handling complex tasks such as web research and report writing. What its post-Meta future holds remains to be seen, but the company signaled it intends to push ahead with new product development, including embedded workflows and proactive agents.explainx