TL;DR
Meta Platforms is acquiring Singapore-based Manus in a deal reported at $2 billion, according to the Wall Street Journal. Meta says Manus will operate independently while its AI agents are woven into Facebook, Instagram and WhatsApp; the startup had drawn attention for a viral demo, early big-name funding and claims of rapid revenue growth.
What happened
Meta Platforms has agreed to buy Manus, a young AI company that drew widespread attention after releasing a polished demo showing autonomous agents handling tasks such as screening candidates, planning trips and analyzing portfolios. The Wall Street Journal reported a $2 billion price tag, matching the valuation Manus had been seeking for a planned funding round. Manus launched earlier this year and quickly attracted venture funding, including a Benchmark-led $75 million round that gave the company a $500 million post-money valuation; earlier investors reportedly included Tencent, ZhenFund and HSG. Manus began charging subscription fees and, per reports, says it now has millions of users and more than $100 million in annual recurring revenue. Meta said Manus will remain an independent business unit while its agents are integrated into Meta’s apps, where Meta AI is already present. Meta also told media the company will end Chinese ownership ties and stop operating in China after the transaction. Senator John Cornyn has publicly criticized prior investments in Manus because of the founders’ origins and investor links to China.
Why it matters
- Adds a revenue-generating AI product to Meta’s portfolio at a time investors are watching its heavy AI spending.
- Gives Meta access to autonomous agent technology that could expand functionality across Facebook, Instagram and WhatsApp.
- Raises geopolitical and regulatory questions because Manus’s founders and some early ties originated in China.
- Signals continued consolidation in the AI startup market as large platforms buy fast-growing, revenue-producing teams.
Key facts
- Acquisition reported by the Wall Street Journal at roughly $2 billion.
- Manus is headquartered in Singapore and launched earlier this year with a widely viewed demo.
- Benchmark led a $75 million funding round valuing Manus at $500 million post-money.
- Earlier, Manus raised about $10 million with reported participation from Tencent, ZhenFund and HSG.
- Manus introduced subscription pricing tiers (reported $39 and $199 per month) and has said it reached millions of users and over $100 million in annual recurring revenue.
- Meta said Manus will continue to operate independently while its agents are embedded into Facebook, Instagram and WhatsApp.
- Meta told Nikkei Asia that there will be no continuing Chinese ownership after the deal and Manus will cease services and operations in China.
- Senator John Cornyn publicly questioned the wisdom of U.S. investment in the company earlier this year, citing national security concerns.
What to watch next
- Whether U.S. regulators or committees review the deal and raise national security or competition concerns: not confirmed in the source.
- How and when Manus’s agent features get integrated into Facebook, Instagram and WhatsApp, and what user-facing changes follow: not confirmed in the source.
- Whether the planned removal of Chinese ownership interests and the exit from China will be sufficient to address lawmakers’ concerns — not confirmed in the source.
- How Manus’s reported subscription revenue stream will influence Meta’s broader monetization strategy: not confirmed in the source.
Quick glossary
- AI agent: A software system that autonomously performs tasks or makes decisions for users by combining models, data and automation.
- Annual recurring revenue (ARR): A metric that annualizes subscription revenue to measure predictable, repeatable income from customers.
- Post-money valuation: The estimated value of a company immediately after a financing round, including the new capital.
- Acquisition: A transaction in which one company purchases another, often to obtain technology, talent or market share.
- Chatbot: A conversational AI that responds to user inputs in natural language, typically within an app or service.
Reader FAQ
How much did Meta pay for Manus?
The Wall Street Journal reported the purchase price at about $2 billion.
Will Manus keep operating as a separate company?
Meta said Manus will continue to run independently while its agents are integrated into Meta’s apps.
Is Manus still operating in China after the deal?
Meta told Nikkei Asia Manus will discontinue services and operations in China and there will be no continuing Chinese ownership interests following the transaction.
Who founded Manus and where did they start?
The founders are described in reports as Chinese; they formed parent company Butterfly Effect in Beijing in 2022 and later relocated to Singapore.
Has the deal cleared regulatory review?
not confirmed in the source
Mark Zuckerberg has struck again. Meta Platforms is acquiring Manus, a Singapore-based AI startup that’s become the talk of Silicon Valley since it materialized this spring with a demo video…
Sources
- Meta just bought Manus, an AI startup everyone has been talking about
- About Artificial Intelligence
- China's AI giants change course after DeepSeek moment
- AI Archives – – LAB51
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