Chinese regulators have blocked Meta Platforms’s planned $2bn acquisition of AI start-up Manus, ordering both parties to withdraw from the deal.
The decision came from China’s National Development and Reform Commission, which barred foreign investment in the transaction after months of regulatory review.
Meta said the deal, announced in December, would integrate Manus’ autonomous AI agents across its platforms to strengthen its artificial intelligence capabilities.
A company spokesperson said:
“We anticipate an appropriate resolution to the inquiry.”
Manus has positioned itself as an advanced AI platform capable of completing tasks independently without repeated user prompts. The company claims its system can plan, execute and deliver outcomes based on instructions.
The deal had been viewed as a strategic move by Meta chief Mark Zuckerberg to accelerate AI development.
Manus, now based in Singapore, was founded in China and remains subject to the country’s regulatory framework. Chinese authorities maintain strict controls over the transfer and sale of domestic technology to foreign firms.
Reports earlier this year said the company’s co-founders were restricted from leaving China during the review process.
The block adds pressure on Meta, which has increased spending on AI while cutting thousands of jobs.
The decision comes as tensions between the United States and China continue to shape the global tech sector.
The White House recently said it would deepen cooperation with US AI firms to counter what it described as large-scale efforts by foreign actors to copy American technology.
China’s embassy in Washington rejected the claim, criticising what it called suppression of Chinese companies and asserting the country’s growing role in global innovation.
Erizia Rubyjeana
