China Opens Probe Into Meta’s $2 Billion Manus Deal, Citing Export Control Risks

China said it will investigate Meta Platforms’ acquisition of AI startup Manus, focusing on whether the transaction complies with export controls and rules governing technology and overseas investment. The probe was announced by China’s Ministry of Commerce, which said it will conduct an assessment under relevant laws and regulations.

Meta acquired Singapore-based Manus last month as it accelerates plans to integrate advanced automation into consumer and enterprise products. While terms were not publicly disclosed, the Wall Street Journal reported the deal closed at more than $2 billion, citing people familiar with the matter.

Manus traces its roots to Chinese startup Butterfly Effect (Monica.Im) before relocating to Singapore earlier this year and operating as a separate entity. The company gained rapid attention after launching its first AI agent in March, offering tools for market research, coding, and data analysis. Manus said it surpassed $100 million in annual recurring revenue in December—about eight months after product launch—and employed 105 staff across Singapore, Tokyo, and San Francisco at year-end.

China’s commerce ministry emphasized it supports lawful international cooperation but will review how the acquisition aligns with export controls and technology import/export rules. Analysts say the probe signals Beijing’s intent to treat advanced AI agents and related intellectual property as strategic. Nick Patience of The Futurum Group said the most likely outcome is a lengthier approval process and potential conditions on how technology developed in China can be used, rather than an outright block.

For Meta, the acquisition bolsters its push into AI agents. The company said Manus’ talent will help deliver general-purpose agents across products, including Meta AI. The deal follows Manus raising $75 million in April in a round led by Benchmark.

The investigation adds a new layer of uncertainty to a high-profile, U.S.-led AI acquisition and underscores how geopolitics and export controls are increasingly shaping global dealmaking in advanced artificial intelligence.