Meta, the parent company of Facebook and Instagram, has acquired artificial intelligence startup Manus, intensifying its aggressive drive to enhance AI capabilities across its vast platforms.
While the California tech giant declined to disclose the financial terms, The Wall Street Journal reported the deal closed at more than $2 billion.
Manus, a Singapore-based platform with some Chinese ties, launched its first "general-purpose" AI agent earlier this year. The company offers paid subscriptions, allowing customers to leverage its technology for various tasks, including research and coding.
In a statement, Meta announced that "Manus is already serving the daily needs of millions of users and businesses worldwide," adding that it plans to scale this service.
The acquisition aims for Manus to "deliver general-purpose agents across our consumer and business products, including in Meta AI." Xiao Hong, CEO of Manus, affirmed that joining Meta would enable the platform to "build on a stronger, more sustainable foundation without changing how Manus works or how decisions are made."
Manus confirmed it would continue to operate its subscriptions via its own app and website.
The platform has experienced rapid growth, announcing earlier this month that it had surpassed $100 million in annual recurring revenue just eight months post-launch.
Initial financial backers reportedly included China's Tencent Holdings, ZhenFund, and HSG. The company that first launched the platform, Butterfly Effect (also known as Monica.Im), was founded in China before relocating to Singapore.
A Meta spokesperson confirmed on Tuesday that there would be "no continuing Chinese ownership interests in Manus AI" following the transaction, and that the platform would cease its services and operations in China.
Manus reiterated its commitment to operating in Singapore, where the majority of its employees are based.
This acquisition comes as Meta CEO Mark Zuckerberg pushes to revitalise the company's commercial AI efforts amid fierce competition from rivals such as Google and OpenAI, the creator of ChatGPT.
In June, Meta made a significant $14.3 billion investment in AI data company Scale and recruited its CEO, Alexandr Wang, to help lead a team developing "superintelligence" within the tech giant.
