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Meta to Buy Manus Startup to Expand Advanced AI Capabilities

Meta to Buy Manus Startup to Expand Advanced AI Capabilities

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Meta said on Monday it would acquire Chinese-founded artificial intelligence startup Manus, as it accelerates efforts to integrate advanced AI across its platforms. The move comes as the technology giant intensifies its push into next-generation AI capabilities. While the financial terms were not disclosed, a source with direct knowledge of the matter said the deal values the Singapore-based firm at between $2 billion and $3 billion. Meanwhile, Manus did not immediately reply to a request for comment.

Manus’ Rise and Strategic Shift

Earlier this year, Manus went viral on X after releasing what it claimed was the world’s first general AI agent. The company said the agent can make decisions and execute tasks autonomously, while requiring much less prompting than AI chatbots like ChatGPT and DeepSeek. As a result, commentators dubbed it China’s next DeepSeek, and it was later cheered by Chinese state television. However, months later, the company moved its headquarters from China to Singapore. This shift followed a broader trend among Chinese companies seeking to curb risks from U.S.-China tensions.

The company, whose products are not available in China, claims its AI agent’s performance surpasses that of OpenAI’s DeepResearch. In addition, it has a strategic partnership with Alibaba to collaborate on AI models. Consequently, Manus positioned itself as a global player rather than a purely domestic one.

Integration Plans and Competitive Landscape

Meta said it will operate and sell the Manus service and integrate it into its consumer and business products, including in Meta AI. At the same time, major technology companies have been ramping up AI investments through acquisitions and talent hires, as competition across the sector intensifies. Earlier this year, the Facebook owner invested in Scale AI in a deal that valued the data-labeling startup at $29 billion and brought in its 28-year-old CEO, Alexandr Wang.

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Meanwhile, Manus, backed by its parent Beijing Butterfly Effect Technology, raised $75 million this year at a valuation of around $500 million, according to the source, confirming earlier media reports. The funding round was led by U.S. venture firm Benchmark. Additionally, its investors include HSG, formerly known as Sequoia Capital China, ZhenFund, and Tencent Holdings, according to PitchBook data.

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