Meta’s $2bn takeover of AI start-up Manus has been blocked by Chinese regulators, adding fresh tension to the US-China tech rivalry.
The Facebook owner announced the deal in December, aiming to use Manus’ “autonomous” AI agents across its platforms. Unlike typical chatbots, Manus says its technology can plan and complete tasks on its own.
But Beijing’s National Development and Reform Commission has reportedly ordered the deal to be scrapped, citing restrictions on foreign investment. Meta said the acquisition “complied fully with applicable law” and expects the issue to be resolved.
The move follows months of scrutiny, with Manus’ Chinese roots putting it under tighter regulatory control despite now being based in Singapore.
The setback comes as Meta ramps up AI spending under CEO Mark Zuckerberg, while wider US-China tensions continue to shape the global tech industry.
Author – Mohammed Najem