Beijing's Order to Unwind

On April 27, 2026, China's National Development and Reform Commission (NDRC) issued a brief statement ordering the deal's cancellation, citing violations of foreign investment security review regulations . The order prohibited all foreign investment in Manus and required both parties to immediately withdraw the transaction and restore it to its prior state . Manus's founders — Xiao Hong, Ji Yichao, and Zhang Tao — were also barred from leaving China amid the probe .

The Operational Split (Completed June 2026)

By June 11, 2026, Meta confirmed it had completed an operational separation from Manus . Key steps included:

• Data firewall erected: Meta effectively built a wall between itself and Manus, halting all data sharing between the two companies .
• Manus staff cut off: Since the beginning of June 2026, Meta blocked Manus and its employees from accessing Meta's internal data systems .
• Meta employees restricted: Meta staff were told they could no longer use Manus tools for internal projects .
• Sunsetting Manus services: Per an internal Bloomberg-reviewed memo, Meta instructed employees to migrate existing Manus projects onto Meta's own systems and to stop launching new work on the Manus platform .

Lingering Questions

Remaining access to Meta's tools. While the data firewall and access restrictions are in place, reports note that the operational split is a "pivotal step" toward full unwinding — not the final legal dissolution of the deal itself . It remains unclear whether any residual access, licensing, or intellectual property arrangements persist in the interim.

Unresolved financial mechanics. The biggest open question is how the $2 billion+ price tag gets reversed. Manus's three co-founders are in discussions to raise about $1 billion from external investors to buy back the Chinese-founded AI operation from Meta . That is roughly half the original purchase price, and the structure — whether Meta takes a loss, retains a minority stake, or receives other consideration — has not been finalized or publicly disclosed . The founders are also reportedly exploring other options, and the timeline for a complete financial unwind remains unclear .

In short, the operational and data separation is done, but the legal reversal of ownership and the financial terms of the buyback are still under negotiation as of mid-June 2026.

Beijing's Order to Unwind

On April 27, 2026, China's National Development and Reform Commission (NDRC) issued a brief statement ordering the deal's cancellation, citing violations of foreign investment security review regulations . The order prohibited all foreign investment in Manus and required both parties to immediately withdraw the transaction and restore it to its prior state . Manus's founders — Xiao Hong, Ji Yichao, and Zhang Tao — were also barred from leaving China amid the probe .

The Operational Split (Completed June 2026)

By June 11, 2026, Meta confirmed it had completed an operational separation from Manus . Key steps included:

• Data firewall erected: Meta effectively built a wall between itself and Manus, halting all data sharing between the two companies .
• Manus staff cut off: Since the beginning of June 2026, Meta blocked Manus and its employees from accessing Meta's internal data systems .
• Meta employees restricted: Meta staff were told they could no longer use Manus tools for internal projects .
• Sunsetting Manus services: Per an internal Bloomberg-reviewed memo, Meta instructed employees to migrate existing Manus projects onto Meta's own systems and to stop launching new work on the Manus platform .

Lingering Questions

Remaining access to Meta's tools. While the data firewall and access restrictions are in place, reports note that the operational split is a "pivotal step" toward full unwinding — not the final legal dissolution of the deal itself . It remains unclear whether any residual access, licensing, or intellectual property arrangements persist in the interim.

Unresolved financial mechanics. The biggest open question is how the $2 billion+ price tag gets reversed. Manus's three co-founders are in discussions to raise about $1 billion from external investors to buy back the Chinese-founded AI operation from Meta . That is roughly half the original purchase price, and the structure — whether Meta takes a loss, retains a minority stake, or receives other consideration — has not been finalized or publicly disclosed . The founders are also reportedly exploring other options, and the timeline for a complete financial unwind remains unclear .

In short, the operational and data separation is done, but the legal reversal of ownership and the financial terms of the buyback are still under negotiation as of mid-June 2026.