China Blocks Meta's Acquisition of AI Firm Manus

China has officially blocked Meta's acquisition of the artificial intelligence firm Manus, which was founded in Singapore. The acquisition, agreed upon in December, aimed to enhance Meta's capabilities in AI technology.

However, analysts warned that the deal could violate regulatory frameworks amid increasing technological rivalry between Washington and Beijing. Reports indicate that the two co-founders of Manus, Xiao Hong and Ji Yichao, have been restricted from leaving China, as confirmed by three sources familiar with the matter.

A meeting in Beijing in March reportedly informed them of this restriction. The National Development and Reform Commission of China stated that foreign investments in Manus would be prohibited, requiring the parties involved to withdraw from the acquisition transaction.

Meta has not publicly commented on the financial details of the deal, which was valued at approximately $2 billion.