China Blocks Meta’s $2 Billion Acquisition of AI Startup 'Manus'

China’s National Development and Reform Commission (NDRC) issued a directive on Monday to cancel the deal, citing new restrictions on American investment within the country’s high-tech sectors. This move underscores China’s growing resolve to shield its homegrown innovation from US corporate dominance.

'Manus,' originally founded in Beijing and now based in Singapore, is renowned for its advanced AI agents capable of autonomous task execution. While Meta aimed to integrate this technology to bolster its global AI ecosystem, the NDRC’s intervention signals a new era of strict oversight where Chinese tech firms must seek state approval before accepting US funding. As the AI arms race between Washington and Beijing intensifies, this regulatory blockade is expected to further strain bilateral relations and complicate the global expansion of emerging AI startups.