Tencent seizes Manus as China blocks Meta, escalating US-China AI riv…

China's government blocked Meta's $2 billion acquisition of AI startup Manus on national security grounds and steered the deal to Tencent at the same valuation, signalling a hardening regulatory barrier against cross-border AI M&A between the US and China. If you've built AI talent or capability in China and have US investors, you now have a rollback risk: Beijing will block any US buyer and force a domestic alternative at the price you negotiated. If you're a US founder trying to acquire Chinese AI, plan for veto—your deal structure won't save you.