Meta’s Manus Deal Sparks Diverging Reactions in Washington and Beijing
Meta’s acquisition of Manus faces mixed reactions, with the U.S. seemingly supportive while China raises concerns over technology regulations.
Washington: Meta’s $2 billion buy of the AI platform Manus is facing different reactions. While U.S. regulators seem fine with the deal, Chinese officials have worries. The concerns come after a funding round led by Benchmark for Manus stirred debate this year.
U.S. Senator John Cornyn even expressed his worries about the funding deal on social media. The U.S. Treasury Department looked into rules that limit American investments in Chinese AI companies. Because of these issues, Manus decided to move from Beijing to Singapore to avoid troubles at home.
Now, China is checking if Meta’s deal breaks any technology rules. They want to know if Manus used an export license when it moved its team to Singapore. This kind of move, called “Singapore washing,” is becoming more usual. Some think that China does not have many ways to affect the deal but might have been too quick to judge.
Chinese officials worry that this acquisition might push more startups to leave China to avoid local laws. Winston Ma, a New York University professor, said that if the deal goes well, it could open new paths for young AI firms in China.
China has acted before when it used export control rules to block Trump’s attempt on TikTok. A Chinese professor warned that Manus’ founders could face serious consequences if they share restricted tech without permission.
On the other hand, some U.S. experts see this deal as an achievement for U.S. investment laws. They feel that Chinese AI talent is now finding better opportunities in America. One expert noted that the U.S. AI scene is currently more appealing.
It is still unclear how this will affect Meta’s plans to use Manus’s AI software, but this $2 billion deal is proving to be more complex than expected.