China blocks Meta $2B Manus deal
- China’s National Development and Reform Commission ordered Meta to unwind its planned $2 billion purchase of Manus on Monday, blocking the Singapore startup sale. - Beijing said all parties must withdraw from the deal after a probe begun in January, while Meta said the transaction followed applicable law. - The veto widens state control over cross-border AI deals amid U.S.-China tech tensions. (apnews.com)
China blocked Meta’s planned $2 billion acquisition of Manus on Monday and ordered the parties to withdraw from the deal. (apnews.com) (cnbc.com) China’s National Development and Reform Commission, the country’s top planning agency, said it was prohibiting the foreign acquisition of Manus. The statement did not name Meta, but multiple outlets identified the blocked buyer as Meta Platforms. (apnews.com) (nprillinois.org) Manus is a Singapore-based artificial intelligence startup with Chinese roots, and the deal had been under scrutiny in both Beijing and Washington. CNBC reported Beijing opened its probe in January. (cnbc.com) (techcrunch.com) The dispute centers on control of advanced AI technology, not just ownership of a startup. AP reported Chinese officials appeared concerned about the transfer of strategic technology abroad. (apnews.com) (abcnews.com) Meta said earlier, in March, that the transaction complied with applicable law. After Monday’s order, the company said it expected an appropriate resolution as regulators reviewed the case. (cnbc.com) (apnews.com) The blocked purchase lands as Washington and Beijing are both tightening oversight of AI, chips, and data-rich technology companies. That has made cross-border deals harder even when a target company is incorporated outside mainland China. (arstechnica.com) (forbes.com) TechCrunch reported Manus was founded by Chinese engineers and later relocated to Singapore before Meta agreed to buy it late last year. That corporate structure did not shield the transaction from Chinese review. (techcrunch.com) (cnbc.com) Monday’s order leaves Meta without the acquisition it wanted and leaves Manus caught between two governments racing to keep AI capabilities from the other side. (apnews.com) (arstechnica.com)
