Meta buys profitable AI startup Manus for US$2B
Manus went from stealth launch to US$100M ARR in months. Here’s why Meta paid billions
Meta has made one of its boldest AI moves to date with the acquisition of Singapore-based startup Manus for a reported US$2 billion.
The startup grabbed attention across Silicon Valley last year when it demoed an AI agent capable of handling tasks like job interview prep, vacation planning, and stock portfolio analysis.
This article breaks down why Manus stood out, what the deal means for Meta’s evolving AI strategy, and what marketing leaders should take away from the acquisition.
Short on time?
Here’s a table of contents for quick access:
- What is Manus, and why did Meta buy it
- How the Manus acquisition fits into Meta’s AI playbook
- What marketers should know
Patrecia Meliana
What is Manus, and why did Meta buy it
Manus launched in early 2025 with a bold claim. Its AI agent could outperform OpenAI’s Deep Research in real-world use cases. A slick demo helped the product go viral, showing a single interface managing everything from hiring workflows to personal finance advice.
Just weeks later, Benchmark led a US$75 million round that valued the company at US$500 million. Tencent, ZhenFund, and HSG (formerly Sequoia China) had already participated in a prior US$10 million round.
By December, the company announced it had signed up millions of users and was pulling in over US$100 million in annual recurring revenue. For an AI product, that kind of revenue traction is extremely rare.
According to The Wall Street Journal, Meta entered talks with Manus around that same time and ultimately paid the US$2 billion valuation the startup had been targeting for its next fundraising round.
How the Manus acquisition fits into Meta's AI playbook
Meta has poured more than US$60 billion into AI infrastructure over the past few years. Most of that spending has gone into compute power, foundational models, and backend capabilities. What has been missing is a front-end AI product that generates real revenue.
Manus fills that gap. Unlike Meta AI, which is still a free chatbot, Manus already runs a working subscription business. It proves that consumers are willing to pay for AI experiences that deliver practical value.
The acquisition also comes with a geopolitical wrinkle. Manus was originally founded in Beijing under a parent company called Butterfly Effect. Although it relocated to Singapore in 2025, US lawmakers including Senator John Cornyn have raised national security concerns about its Chinese origins. Meta responded by confirming that after the acquisition, Manus would cut all ties with Chinese investors and shut down its China operations entirely.
For Meta, the Manus acquisition is a strategic pivot. The company is moving from AI R&D to AI revenue.
What marketers should know
Here are three takeaways for marketers tracking the rise of AI tools in their tech stack:
1. Expect Meta to push AI agents deeper into its platforms
Meta says Manus will continue operating independently, but its technology will be integrated into Meta AI across Facebook, Instagram, and WhatsApp. This could soon lead to AI assistants that help with ad performance insights, campaign planning, or even automated customer service inside these apps.
Manus also brings a consumer-grade interface that might influence how Meta reimagines its own AI tools for brands and creators.
2. AI tools with revenue models will shape the next wave
Many generative AI startups are still in experimentation mode. Manus proved that monetization is not just possible, it is scalable. This raises the bar for other AI players and pressures vendors to show value beyond novelty.
For marketers, this is a good time to re-evaluate which AI tools in your stack are built for scale and which are still in MVP mode.
3. The politics of AI ownership are becoming a brand issue
With growing scrutiny over AI origin, data governance, and cross-border ownership, brands will need to start asking tougher questions. Who owns your AI tools? Where is user data stored? Can your AI stack expose you to regulatory or reputational risk?
Marketers working in regulated or global industries should start vetting their AI vendors like they vet cloud providers.
Meta’s acquisition of Manus is not just about building better AI. It is about buying its way into the monetization race. For marketers, this signals a future where AI tools are no longer side projects or free experiments. They are products with revenue expectations and strategic implications.
The next phase of AI will not just be about what the tech can do. It will be about how much it can earn, how fast it can scale, and whether brands can trust where it comes from.
