China’s economic planning body National Development and Reform Commission has requested Meta, owner of Facebook, Instagram and WhatsApp to unwind its acquisition of AI start-up Manus.
China has strict regulations aimed at its tech sector, including controls on their exports or sale to foreign firms, and the Beijing authorities say domestic tech companies must seek explicit government approval for accepting US investments. Although Manus is now based in Singapore, it was founded in, and was still based in China when the acquisition was announced in December.
The acquisition, estimated to be worth around USD2bn, was intended to boost Meta’s AI development across its platforms.