Manus Singapore AI Startup acquired by Meta to Accelerate Its Agent-Driven Artificial Intelligence Strategy
Manus Singapore AI Startup acquired by Meta to Accelerate Its Agent-Driven Artificial Intelligence Strategy
Synopsis
- Meta has agreed to acquire Singapore-based AI startup Manus as part of its push to commercialise AI agents.
- Manus’ subscription-based AI agent business offers Meta a faster path to revenue from large-scale AI investment.
- The deal underscores intensifying global competition around autonomous AI agents rather than chat-based tools.
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Meta Platforms has agreed to acquire Singapore-based startup Manus, adding a widely used artificial intelligence agent to its portfolio as the social-media group continues to deepen its bet on AI as a core business pillar. The acquisition comes as Meta chief executive officer Mark Zuckerberg prioritises artificial intelligence above all other initiatives, committing vast resources to research, infrastructure and next-generation model development.
Manus sells an AI agent to businesses through a subscription service, positioning itself as a practical enterprise tool rather than a consumer-facing chatbot. Earlier this year, the company was generating an annual revenue run rate of about US$125 million, a figure that could offer Meta a more immediate commercial return on its extensive AI spending. Financial terms of the transaction were not disclosed.
The startup released its product earlier this year, describing it as a general-purpose AI agent capable of completing a range of tasks with minimal instruction. These include screening job resumes, planning travel itineraries and analysing stocks. Unlike traditional generative AI systems that rely heavily on continuous user prompts, AI agents are designed to operate with limited or no human supervision while carrying out specific digital tasks.
Manus is owned by Butterfly Effect, a parent company founded in China before relocating its base to Singapore. Butterfly Effect raised funding earlier this year at a valuation close to US$500 million in a round led by US venture capital firm Benchmark. According to the report by The Business Times, the company has since laid off dozens of China-based staff and has been preparing to shift many roles to Singapore as part of its expansion and restructuring plans.
Meta’s acquisition comes amid fierce competition with rivals such as OpenAI, Alphabet’s Google and Microsoft. Zuckerberg has pledged to spend around US$600 billion on US infrastructure projects over the next three years, many of them expected to be AI-related. The company has also recruited a high-cost team of researchers to develop a new state-of-the-art AI model it plans to debut next spring, even as some investors express concern that Meta’s aggressive spending may not translate into meaningful revenue in the near term.
Enterprise software providers including Salesforce and ServiceNow have heavily promoted AI agents as a more effective way for businesses to deploy artificial intelligence, compared with chatbots that require constant interaction. Meta has already launched its own AI chatbot, Meta AI, which is available across Facebook, Instagram and WhatsApp, as well as through its AI-enabled glasses. The company said it will continue to operate and sell Manus’ service and will integrate the startup’s agents into both consumer and enterprise products.
Meta is acquiring Manus’ technology and leadership team, though the company has not specified where the new group will sit internally. Meta’s chief AI officer, Alexandr Wang, who joined the company this year following a high-profile investment in his startup Scale AI, welcomed the Manus team in a post on X. Manus co-founder and chief executive Xiao Hong said the deal would allow the company to scale its vision far beyond its current reach, adding that the era of AI systems that “act, create and deliver” is only beginning.
Benchmark’s involvement in Manus previously drew criticism from US lawmakers over the startup’s origins in China. US Senator John Cornyn questioned whether American capital should support AI companies with Chinese ties, citing economic and military concerns. Benchmark did not immediately comment on the Meta acquisition, according to The Business Times, which first reported the deal based on Bloomberg coverage.
The transaction highlights how global technology giants are increasingly focused on AI agents as the next phase of artificial intelligence deployment, signalling a shift away from experimental chat tools toward systems designed to deliver tangible business outcomes at scale.
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About Manus
Manus is a Singapore-based artificial intelligence startup focused on building autonomous AI agents for enterprise use. The company sells its core product through a subscription model, offering businesses software agents that can perform practical digital tasks without continuous human supervision. These tasks include screening job applicants, planning travel itineraries and analysing stocks based on simple instructions, positioning Manus beyond conversational chatbots toward action-oriented automation.
Manus operates under its parent company, Butterfly Effect, which was originally founded in China before relocating to Singapore. Earlier this year, Butterfly Effect raised funding at a valuation close to US$500 million in a round led by US venture capital firm Benchmark. At the time, Manus was generating an annual revenue run rate of about US$125 million, reflecting growing demand for agent-based AI tools in enterprise workflows.
The company has also been restructuring its operations, laying off dozens of China-based staff while preparing to shift more roles to Singapore, as it scales its technology and global reach in an increasingly competitive AI market.
Featured Image: Bloomberg
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