China Blocks Meta-Manus Deal, Intensifying the AI Rivalry

China blocked Meta's $2 billion Manus acquisition and signaled a tougher stance on foreign tech deals, forcing an unwinding that could jeopardize access to China-origin data and talent. Singapore-based restructuring does not fully shield deals from Chinese regulatory reach, adding a new front to the U.S.–China AI race and potentially dampening overseas AI talent's return to China. Meta says it complied with the law; Manus’ China links and data origin complicate the path forward, while Meta's 2024 revenue from China was about 11% of total. The episode underscores how geopolitics is reshaping tech investments and talent flows.