In one of our reports from yesterday, we mentioned about the growing trend of big AI companies acquiring AI startups to boost their portfolio and to innovate even more with fresh talents. Meta, being one of the contenders in the ongoing AI race, is reportedly betting big on Manus, which is an AI startup from Singapore that entered the AI space in early 2025.
All thanks to a demo video that has Silicon Valley talking about it ever since it went viral. The video showed an AI agent capable of screening job candidates, planning trips, and analyzing stock portfolios. Manus even claimed its system outperformed OpenAI’s Deep Research. Whether or not that claim holds up, the momentum was real.
Meta acquires Singapore-based AI startup Manus in over $2 billion deal
Meta and Manus has officially announced the deal. But, according to an exclusive report by The Wall Street Journal, Meta has agreed to acquire Manus for more than $2 billion, matching the valuation the startup was reportedly seeking for its next funding round. For Meta, which has poured roughly $60 billion into AI infrastructure, Manus is offering a rare AI product that’s already making serious money. Not to mention, Meta appears to be in the mood to cash in and make the most out of the hype Manus has already created.
In earlier fundings, Manus was reportedly backed by Tencent, ZhenFund, and HSG through a separate $10 million round. Despite early skepticism around its aggressive pricing, which ranged from $39 to $199 per month, Manus says it has since signed up millions of users and crossed $100 million in annual recurring revenue. That revenue figure is what likely caught Mark Zuckerberg’s attention.
Meta, in the official announcement, mentions that Manus will continue to operate independently after the acquisition, at least for now. However, its AI agents will be gradually integrated into Meta’s ecosystem, including Facebook, Instagram, and WhatsApp, where Meta AI is already embedded. That being said, the latest deal comes with political baggage. For the uninitiated, Manus was founded by Chinese entrepreneurs who started its parent company called Butterfly Effect. The company was first set up in Beijing before relocating operations to Singapore earlier this year.
Manus will exit Chinese market as part of the deal
Meta, however, is willing to negate that concern, as it has confirmed that Manus will sever all ties with Chinese investors and fully exit the Chinese market following the acquisition. According to Meta, there will be no remaining Chinese ownership once the transaction closes. Speaking of acquisition, let’s not forget that SoftBank Group from Japan has acquired DigitalBridge for $4 billion in an effort to push its AI infrastructure.
What do you think about this deal? Will Meta benefit from Manus’ hype? We’d love to hear your take in the comments below.
