Meta is reportedly taking steps to unwind its $2 billion deal for Manus, marking a clear shift toward a full operational split from the Chinese-founded AI startup. The process includes ending data sharing and disconnecting Manus from Meta's internal systems.
The move follows a divestiture order from Beijing issued about two months ago, reflecting growing scrutiny around strategically sensitive technology and cross-border investment. With the separation underway, Manus employees can no longer use the company's tools for internal Meta projects.
At the same time, Manus co-founders have reportedly explored fresh funding options to regain control of the startup, including a potential $1 billion raise from outside investors. That path could support a future joint venture structure in China and possibly a listing in Hong Kong, where AI companies have drawn strong market interest.
Despite the restructuring, Manus continues to expand its product roadmap, adding integrations with Similarweb and Shopify. The startup first gained attention through a viral agent demo and later became part of one of the most closely watched AI transactions of the year.
Investors on both sides have already begun adapting to the unwind, while the case highlights how AI ownership, capital flows, and strategic oversight are becoming central themes in the global tech landscape. The outcome may help define how future AI deals are structured across markets.
