Meta Cuts Off Manus Access as $2B Acquisition Unwinds

Meta is cutting off Manus from its internal data systems and barring Meta employees from using the platform's tools, marking the most concrete operational step yet toward unwinding the $2 billion acquisition it announced in December 2025 — a deal Beijing moved to reverse almost as soon as it closed.

Why the Deal Is Coming Apart

Meta acquired Manus, the Singapore-based autonomous AI agent startup, for over $2 billion in late 2025. The acquisition was Meta's answer to falling behind in the autonomous agent race against OpenAI and Anthropic. Manus had been built by Chinese founders who relocated the company to Singapore ahead of the sale — a structure critics described as "Singapore washing."

Beijing's National Development and Reform Commission ordered the deal reversed in April, citing unspecified laws and regulations, following a months-long regulatory probe that began almost immediately after the acquisition was announced. China's position was explicit: offshore incorporation does not shield a transaction from Chinese authority when the underlying technology and talent originated in China.

The Operational Separation

An internal Meta memo reviewed by Bloomberg, published today, characterized the change as a "sunsetting" of Manus within Meta. Employees were told to wind down active projects by shifting them to Meta's own infrastructure rather than initiating anything new on the Manus platform. Access to Meta's internal data systems has been cut off for Manus and its staff.

The co-founders face separate constraints. Chinese authorities required CEO Xiao Hong and CTO Ji Yichao to appear before officials in Beijing in March, and both have since been prohibited from traveling abroad.

What Happens to the Product

The Manus standalone subscription service is not being shut down immediately. Certain integrations — including connections to Meta Ads Manager and Instagram — have continued to function despite the internal firewall.

The founders are exploring raising roughly $1 billion from outside investors to fund a buyback at the original $2 billion valuation, with the goal of eventually pursuing a Hong Kong IPO reorganized as a Chinese joint venture. Those discussions remain at an early stage and no firm decisions have been made.

What This Means for Manus Users

For developers using Manus for autonomous agent workflows — the platform's three-tier model (Free, Starter at $39/month, Pro at $199/month) — the immediate product is unchanged. The longer-term ownership trajectory is unresolved.

A completed buyback would see Manus operating independently again. The scenario where Meta absorbs and sunsets the product entirely appears off the table given Beijing's direct intervention and the founders' active buyback discussions.

What's Unconfirmed

The financial mechanics of a clean reversal remain unresolved. Early backers — including Tencent, ZhenFund, and HSG — have already been paid out from the original deal. Whether a buyback could fully account for those payouts is unclear. No firm timeline for completing the reversal has been announced.