Meta’s $2B Manus acquisition under Chinese review as co-founders barred from leaving the country

China's National Development and Reform Commission summoned Manus co-founders and CEO Xiao Hong and chief scientist Ji Yichao to Beijing this month over potential foreign direct investment violations related to reporting rules after the company's ownership changed, and both executives have since been barred from leaving the country while the review continues. The $2B acquisition, which Meta completed late last year and is already integrating into its platform, is also under separate review by China's Ministry of Commerce for potential export control violations, with an extreme outcome being an unwind of the transaction, though regulators have not decided whether to pursue that step. The scrutiny reflects broader Chinese government concerns about AI companies relocating overseas to bypass domestic regulation and selling strategic technology to foreign buyers, a practice Chinese leaders have referred to as “selling young crops.”