Chinese authorities have prohibited the acquisition of the AI platform Manus by Meta, the US giant owner of Facebook and Instagram. This veto, announced from Shanghai, freezes a deal valued at $2,000 million and highlights tensions in the tech sector.
The National Development and Reform Commission (NDRC), China’s main economic organ, published a brief statement on its website ordering the immediate cancellation of the operation. It demanded that the parties involved withdraw from the AI platform Manus, citing violations of foreign investment regulations. The department of investment security confirmed the measure, taken “in accordance with the laws and regulations” of the country, without further details.
China prohibits sensitive investments in AI
The announcement comes after an investigation initiated in January, when Beijing evaluated the legal compliance of the transaction. The Ministry of Commerce had warned that cross-border mergers must comply with strict controls on technology and data exports. In this case, regulators suspect an attempt to evade supervision by moving the AI platform Manus to Singapore, a temporary seat before the sale to Meta.
Manus, known for its general-purpose AI agent launched in March last year, attracted global attention for requiring fewer instructions than competitors like ChatGPT. Accessible only by invitation, it promised to automate complex tasks. However, its exit from China, after a funding round led by US-based Benchmark, triggered alarms. Chinese authorities also imposed exit bans on co-founders and key executives, paralyzing technical integration.
Context of the AI platform Manus and the commercial war
This is not the first time that Beijing uses similar tactics. During Trump’s first term, it blocked the forced sale of TikTok with parallel investigations. Experts see in the move of Manus a pattern: firms like Shein also moved to Singapore to mitigate geopolitical risks, generating more scrutiny from Chinese regulators fearful of technological leaks.
Tensions between Meta and Chinese regulators
Meta, whose services are blocked in China, faces unprecedented obstacles. A Meta spokesperson stated that the transaction complied with applicable legislation and anticipates a resolution. However, analysts predict severe conditions, such as restrictions on the use of the technology of the AI platform Manus, rather than a complete block. Sources indicate that Beijing is investigating whether there was “model washing”, renaming AI systems to evade controls.
Global implications for Chinese AI
- China strengthens controls over AI exports to protect technological sovereignty.
- Companies seek neutral seats like Singapore, but attract more surveillance.
- The veto marks the first use of exit bans against a direct deal with a US big tech.
This case illustrates the give-and-take in the commercial war initiated in 2018. The decision on the AI platform Manus could redefine mergers in the sector, prioritizing national security over global expansion. From the Dominican Republic, we will continue to monitor developments in this key dispute for the world technology.
