Tencent seeks $2 billion purchase of AI startup Manus after China blocks Meta

Chinese internet giant Tencent is in advanced talks to acquire a majority stake in AI‑agent startup Manus for roughly $2 billion. The move follows a Chinese regulatory order that forced Meta to unwind its own $2 billion acquisition of the company earlier this year.

Manus, founded in China before relocating its headquarters to Singapore, develops AI agents that can perform multi‑step tasks such as research, reporting, coding and data analysis. After the forced divestiture, the company cut its China operations and is now run independently out of Singapore, with reported annual revenue near $500 million. Existing shareholders, including ZhenFund, HSG Capital and the management team, are negotiating with Tencent to sell at a comparable valuation. Tencent would become the largest external shareholder but would not fully integrate Manus into its own operations. The transaction reflects the broader AI arms race between the United States and China, where Beijing has tightened controls on foreign investment in strategic tech firms.