Meta told to initiate separation of Manus after the acquisition failed regulatory approval.
Meta’s acquisition of AI start-up Manus has been blocked by the Chinese govern.ment
Meta acquired the AI start-up for $2bn at the end of 2025, after it had relocated from China to Singapore earlier in the year.
This raised regulatory scrutiny from both the US and China, with the latter’s National Development and Reform Commission deciding the deal broke rules around foreign investment, and ordered the two parties to unwind the acquisition.
The Facebook-owned has said it believed the deal “complied full with application law”.
Meanwhile Manus has resumed independent operations following orders from the Chinese government.
“This is part of our separation from Meta; we must take this step to comply with regulatory requirements in specific parts of the world,” Manus wrote.
Some user data is set to be deleted, so users are advised to back up their data generated on or after December 29, 2025 – the day the deal was announced.
“As part of our transition back to independent operations and to comply with regulatory requirements in specific jurisdictions, data generated by certain users on/after December 29, 2025 will be deleted” later this month, Manus said in a statement.
“We’ve developed data back-up and restoration tools to make this process as easy as possible for affected users. That said, we understand the disruption this will cause,” the update confirms. “Our commitment to you remains wholeheartedly and, while we can’t avoid this, we plan to be there to support you through every step of the process.”
Unwinding plans must be given final approval by Chinese regulators – but lawmakers have told the company that operations will not be affected once it has separated from Meta, and all regulatory requirements are met.
Manus’ founders have reportedly had travel restrictions lifted following the investigation, and are planning to return to Singapore, where the company is based, according to Reuters.
