According to CNBC, artificial intelligence startup Manus announced it will soon resume operating as an independent company following regulatory pressure from Chinese authorities that forced Meta to unwind its $2 billion acquisition of the enterprise. The deal, which was initially announced last December to expand Meta’s AI agent capabilities, faced swift investigations from regulators in Beijing and Washington over foreign investment rules.
Regulatory Intervention Forces Meta Deal Unwind
Regulators investigated whether the cross-border acquisition violated national foreign investment rules. Since that decision, Beijing has further tightened tech export controls as Washington and Beijing compete intensely for global AI talent, hardware, and data assets.
Data Backup Requirements for Manus Users
As part of the separation process, Manus announced that certain users must back up data generated on or after December 29, 2025, which was the exact date Meta originally announced the acquisition. “This is part of our separation from Meta; we must take this step to comply with regulatory requirements in specific parts of the world,” the company stated, as reported by CNBC. This technical separation highlights the operational friction companies face amid shifting cross-border data regulations.
Meta’s Broader AI Expansion Strategy
Before regulators blocked the transaction, Meta planned to integrate Manus technology into both its consumer and enterprise products. According to CNBC, the acquisition was part of an aggressive AI expansion strategy by Meta aimed at building a viable subscription business to compete directly with Google, Anthropic, and OpenAI. Meta recently released its first coding agent as part of ongoing efforts to generate direct revenue from its artificial intelligence investments.
Frequently Asked Questions
Why did the Meta and Manus deal fall apart?
Chinese regulators, led by the National Development and Reform Commission, ordered the companies to withdraw the transaction in April following an investigation into foreign investment rules.
When was the acquisition originally announced?
Meta announced its acquisition of Manus last December.
What do Manus users need to do now?
Users must back up data generated on or after December 29, 2025, to comply with regional regulatory requirements during the corporate separation.
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