Manus to Operate Independently Following Meta’s $2 Billion Acquisition Unwind Due to Chinese Regulatory Demands

Manus announced on Tuesday that it will soon resume operations as an independent company following a directive from Chinese regulators in April that required Meta to reverse its acquisition of the AI startup.

Meta had acquired Manus, which specializes in general-purpose AI agents, in December 2025, but the deal faced immediate scrutiny from both Chinese and U.S. authorities over potential violations of foreign investment regulations. The National Development and Reform Commission of China ordered the unwinding of the transaction, prompting a complex separation process.

This regulatory action comes as China has tightened tech export controls amid escalating competition with the U.S. for AI talent and resources. Manus indicated that users will need to back up their data generated after the acquisition announcement date of December 29, 2025, to comply with regulatory requirements.

Meta had intended to integrate Manus' technology into its products as part of its broader AI strategy, which includes competing with major players like Google, Anthropic, and OpenAI. Recently, Meta launched its first coding agent, further emphasizing its commitment to monetizing AI innovations

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