Meta Dismantles AI Unit Manus Amid China Regulatory Order
Meta is sunsetting its AI platform Manus, acquired for $2 billion, after China's NDRC ordered the deal unwound. The platform's staff and systems are now cut off from Meta's internal network, with projects migrating to Meta's own infrastructure due to the regulatory decision.
Key points
- Meta is dismantling its AI service Manus, acquired in December 2025 for $2 billion.
- China's National Development and Reform Commission (NDRC) ordered the acquisition unwound in April 2026, citing foreign investment and technology export rule violations.
- Since early June, Manus staff and systems have been barred from accessing Meta's internal data.
- Meta employees are instructed to migrate Manus projects to internal systems and cease new work on the platform.
- Manus founders are reportedly seeking $1 billion for a potential buyback.
Meta has begun dismantling Manus, an agentic AI service it acquired for $2 billion in late 2025. The decision follows an order from China's National Development and Reform Commission (NDRC) in April 2026 to unwind the transaction. The NDRC concluded that the deal violated foreign investment and technology export regulations, despite Manus relocating its headquarters and key personnel to Singapore in 2025.
According to reports, Meta has severed Manus's access to its internal data systems and barred Meta employees from using Manus tools for internal projects. Staff have been instructed to migrate ongoing work to Meta's proprietary systems and halt any new development on the Manus platform. The co-founders of Manus are reportedly attempting to raise $1 billion to facilitate a buyback of the company.
Sources
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