China restricts Manus co-founders’ travel amid Meta deal review

Summary

Chinese authorities have barred two Manus co-founders from leaving the country during a regulatory review.
The move comes as officials examine Meta Platforms’ proposed acquisition of the AI startup.

BEIJING, March 25, 2026 — Chinese authorities have restricted two co-founders of AI startup Manus from leaving the country while regulators review Meta Platforms’ proposed acquisition of the company for potential compliance issues.

Chief executive Xiao Hong and chief scientist Ji Yichao were called earlier this month to a meeting in Beijing with the National Development and Reform Commission, where the matter was discussed, according to a report citing people familiar with the situation.

Following the meeting, both executives were informed they would not be allowed to leave China while the review is ongoing, although domestic travel remains permitted. The company has not publicly commented on the development.

Manus is seeking legal and advisory support as it works through the review process. The situation reflects the growing complexity of regulatory approvals for cross-border transactions involving advanced technologies.

Meta said the transaction complies with applicable laws and added that it expects an appropriate outcome from the review. China’s Ministry of Public Security did not immediately respond to requests for comment.

Meta had announced plans in December to acquire Manus, a company focused on developing general-purpose AI agents designed to perform tasks such as research and automation with minimal human input.

While financial terms were not officially disclosed, earlier information indicated the deal could value Manus between $2 billion and $3 billion.

China’s commerce authorities had already signaled earlier this year that they would examine the transaction, underscoring increased scrutiny of foreign investments in sensitive sectors such as artificial intelligence.

Why this matters

• Highlights tighter regulatory oversight of cross-border AI and technology deals in China
• May delay or complicate Meta’s expansion strategy in advanced AI capabilities
• Reflects growing geopolitical sensitivity around foreign investment in critical technologies
• Signals increased compliance risks for startups involved in international transactions

FAQs

Q1: Why were the Manus co-founders restricted from travel?

They are subject to an ongoing regulatory review linked to Meta’s proposed acquisition.

Q2: What is China reviewing in this deal?

Authorities are assessing whether the transaction complies with investment and regulatory requirements.

Q3: What does Manus specialize in?

The company develops general-purpose AI agents capable of handling research and automation tasks.

Q4: What is the estimated value of the deal?

The acquisition has been valued between $2 billion and $3 billion, based on earlier information.

Q5: Has Meta responded to the review?

Yes, the company stated that the deal complies with applicable laws and expects a fair outcome.