Reportedly investors are seeking alternatives post China’s decision to dismantle a $2bn deal that would have seen Meta acquire AI start-up Manus.
Chinese multinational technology company Tencent is reportedly in talks to become the largest external shareholder at AI start-up Manus, in a deal that would further unwind Meta from a similar deal made previously, said two sources close to the matter.
It was previously reported that Meta would acquire Manus for roughly $2bn as the organisation aimed to further advance its work in the AI space. However, in April of this year, it was announced that Manus and Meta had begun dismantling the deal as a result of the Chinese government blocking it on the grounds of national security.
When the deal was initially announced, Meta drew widespread criticism for what was perceived as the handing over of critical technology to a geopolitical rival, which then resulted in an investigation and the eventual dissolution of the agreement.
Other investors reported to be involved in the new deal alongside Tencent are ZhenFund and HSG, both of whom were investors in the previous arrangement involving Meta.
