Anabelle Colaco
31 Dec 2025, 23:00 GMT+10
MENLO PARK, California: Meta said it would buy Chinese-founded artificial intelligence startup Manus, marking its latest move to strengthen advanced AI capabilities across its platforms amid intensifying competition among global tech giants.
Financial terms of the deal were not disclosed, but a source with direct knowledge of the matter said the transaction values Singapore-based Manus at between US$2 billion and $3 billion.
Manus did not immediately respond to a request for comment.
The startup drew widespread attention earlier this year after going viral on X with the release of what it described as the world's first general AI agent: software it said can make decisions and execute tasks autonomously with far less user prompting than conventional AI chatbots.
Once touted as China's next DeepSeek, Manus has since attracted interest from Beijing, which has signalled support for the company. Manus has claimed that its AI agent outperforms OpenAI's DeepResearch and has also formed a strategic partnership with Alibaba to collaborate on AI model development.
Meta said it will operate and sell the Manus service and integrate the technology into its consumer and business offerings, including Meta AI.
The acquisition underscores how large technology companies are stepping up investments in artificial intelligence through targeted acquisitions and talent recruitment. Earlier this year, Meta invested in data-labeling startup Scale AI in a deal that valued the company at $29 billion and brought its chief executive, Alexandr Wang, into a senior role.
Manus is backed by its parent company, Beijing Butterfly Effect Technology. The firm raised $75 million earlier this year at a valuation of around $500 million, the source said, confirming earlier media reports. U.S. venture capital firm Benchmark led the funding round.
Other investors include HSG, formerly known as Sequoia Capital China, ZhenFund, and Tencent Holdings, according to PitchBook data.
Manus is among a growing number of Chinese technology firms that have relocated their headquarters to Singapore in recent years, betting that basing operations in the trade-focused city-state would reduce the risk of disruption stemming from heightened geopolitical tensions between China and the United States.
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