The Chinese commerce ministry announced on Thursday that officials are reviewing the sale of AI startup Manus to Meta. This scrutiny centers on potential violations of technology export control laws regarding the US technology giant’s latest acquisition.
Ministry spokesperson He Yadong addressed the situation during a press briefing earlier today, as he emphasized that companies engaging in foreign investment or technology exports must comply strictly with Chinese regulations. Consequently, the ministry will collaborate with relevant departments to assess whether this specific deal aligns with national legal frameworks.
Furthermore, the investigation focuses on the transition of intellectual property across borders. Meta announced the acquisition last week as part of its aggressive strategy to dominate the global AI landscape. However, the Chinese government maintains strict oversight on data transfers and the acquisition of domestic tech firms by foreign entities.
From Singapore to Silicon Valley
Manus originally launched in China before the founders relocated the company headquarters to Singapore. In early 2025, the startup gained international fame by unveiling a general AI agent capable of complex coding and market research. Now, officials are examining if the relocation of staff and technology required a formal export license under Chinese law.
The review currently remains in an early stage and might not result in a formal investigation or penalty. Nevertheless, the requirement for an export license gives Beijing significant leverage to influence the transaction’s final outcome. In an extreme case, the government could even force the involved parties to abandon the deal entirely.
Manus has demonstrated explosive financial growth, reporting average annual revenue of over $100 million just months after its launch. Recent reports from The Wall Street Journal suggest that Meta is finalizing the deal at a valuation exceeding $2 billion.
While Meta continues its large-scale investments, this regulatory hurdle represents a growing friction between global tech expansion and national security. Industry analysts believe the outcome of this review will set a precedent for other AI startups attempting to move offshore.
