Meta is moving to dismantle its $2 billion acquisition of Manus after Beijing ordered the deal reversed, according to TechCrunch.

The reported unwinding marks a striking turn for what had been a major AI deal. Manus, an AI agent startup, drew significant attention earlier this year before the acquisition closed. Now, according to TechCrunch, Meta has begun the process of taking the deal apart in response to pressure from Chinese authorities.

The details of why Beijing intervened — and on what legal or regulatory grounds — were not specified in the source reporting. What is clear, according to TechCrunch, is that Meta is actively complying with the demand rather than contesting it.

The episode underscores how deeply geopolitical tensions between the United States and China now reach into corporate deal-making, even for American companies acquiring startups with Chinese roots. A $2 billion acquisition being unwound at the direction of a foreign government is highly unusual, and it raises questions about how much leverage Beijing retains over companies and founders connected to China — even after they have established themselves internationally.

For the AI industry broadly, the story matters because it signals that national governments are increasingly treating AI acquisitions as matters of strategic interest, capable of overriding the decisions of private buyers and sellers.