China · Meta · Hong Kong · NPR Technology
China blocks Meta from acquiring AI outfit Manus
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HONG KONG, China on Monday blocked U.S. tech giant Meta's acquisition of the artificial intelligence startup Manus, in an unexpected move to reverse a deal that apparently aroused Beijing's concerns about the transfer of advanced technology.
Key facts
- The decision was made by the commission's Office of the Working Mechanism for Security Review of Foreign Investment in accordance with Chinese laws and regulations, the statement said
- In a one-line statement, China's National Development and Reform Commission, the country's top planning agency, said it was prohibiting a foreign acquisition of Manus and had required all the parties
- Singapore-based Butterfly Effect Pte was the firm behind Manus ahead of the acquisition
- China is showing the world that it is willing to play hardball when it comes to AI talents and capabilities, which the country views as a core national security asset," said Lian Jye Su, chief
Summary
In a one-line statement, China's National Development and Reform Commission, the country's top planning agency, said it was prohibiting a foreign acquisition of Manus and had required all the parties to withdraw from the deal. The decision was made by the commission's Office of the Working Mechanism for Security Review of Foreign Investment in accordance with Chinese laws and regulations, the statement said. Meta announced in December that it was acquiring Manus, which has Chinese roots but is based in Singapore, in a rare case of a major U.S. tech group buying an AI company with strong links to China. Meta had said there would be "no continuing Chinese ownership interests in Manus" and that Manus would discontinue its services and operations in China.