Meta Platforms has agreed to acquire Manus, a Singapore-based artificial intelligence startup, for $2 billion. The deal was reported by The Wall Street Journal. It marks a major step in Meta’s growing push into AI-powered products.
Manus became popular in Silicon Valley after its public debut last spring. The company released a demo video that attracted strong attention. The video showed an AI agent handling complex tasks. These included screening job candidates, planning vacations, and reviewing stock portfolios. Manus claimed its system performed better than OpenAI’s Deep Research at the time.
The startup grew quickly after launch. In April 2025, Manus raised $75 million in a funding round. Venture capital firm Benchmark led the investment. The deal valued Manus at $500 million after funding. Benchmark partner Chetan Puttagunta joined the company’s board.
Before that round, Chinese media reported earlier backing. Investors included Tencent, ZhenFund, and HSG, formerly known as Sequoia China. Those early investments later became a sensitive issue.
Manus recently shared strong business results. The company said it has millions of users worldwide. It also reported more than $100 million in annual recurring revenue. This growth made the startup attractive to Meta Platforms.
According to the report, the $2 billion price matched Manus’ target for its next funding round. For Meta Platforms, the deal adds a working AI product with real revenue. This comes as investors question Meta’s heavy spending on AI. The company is reportedly investing around $60 billion in AI infrastructure and data centers.
Meta Platforms said Manus will continue to operate independently. At the same time, its AI agents will be integrated into Facebook, Instagram, and WhatsApp. Meta AI is already available on these platforms.
The acquisition also brings political attention. Manus was originally founded in Beijing in 2022. Its parent company, Butterfly Effect, later moved operations to Singapore in mid-2025. This history raised concerns in Washington.
US Senator John Cornyn previously criticized Benchmark’s investment. He warned about US funds supporting technology firms with Chinese links. His position reflects growing bipartisan caution toward China-related tech deals.
Meta Platforms told Nikkei Asia that changes will follow the acquisition. Manus will cut all ties with Chinese investors. It will also stop operating in China. A Meta spokesperson confirmed there will be no remaining Chinese ownership. Services in China will be fully discontinued.
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The deal highlights Meta’s urgency to stay competitive in the global AI race.
