Sources: 
China's National Development and Reform Commission (NDRC) has formally blocked
Meta's planned acquisition of
Manus, a Singapore-based artificial intelligence startup with ties to China. This intervention signals Beijing's strategic intent to protect its AI capabilities amid rising competition with the United States.
Meta announced the acquisition in
December for over
$2 billion, aiming to enhance its AI tools' capabilities beyond traditional chatbots. However, regulatory scrutiny arose earlier this year as Chinese authorities initiated an investigation into the implications of foreign acquisitions on national security. In March,
Manus CEO Xiao Hong and chief scientist
Ji Yichao faced restrictions on leaving China while the government reviewed the deal.
The NDRC's intervention underscores China's growing scrutiny over foreign tech deals, as any enterprise engaged in outward investments must comply with local laws governing technology exports. Meta contended that the transaction adhered to applicable legal standards, yet the Chinese government remains resolute in preventing U.S. entities from acquiring AI expertise and intellectual property, reflecting deepening tensions between the two superpowers.
Alfredo Montufar-Helu, a managing director at Ankura China Advisors, emphasized the significance of this move by stating that it reveals how
AI has become central to strategic competition between the world’s two largest economies.
Sources: China's National Development and Reform Commission has blocked Meta's acquisition of Singapore-based AI startup Manus, citing concerns over foreign ownership. The decision underscores Beijing's commitment to safeguarding national AI talent amidst ongoing U.S.-China tensions regarding technological supremacy.
