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#china#chinese#singapore#prc#manus#company#meta#founders#america#country

Discussion (110 Comments)Read Original on HackerNews

wxwabout 2 hours ago
> After a $75 million fundraising round led by U.S. venture firm Benchmark in May 2025, Manus shut its China offices in July, laying off dozens of employees. It then moved its operations to Singapore.

> It was not immediately clear on what grounds China was seeking the annulment of a deal involving a Singapore-based company and how, if at all, a completed acquisition transaction would be unwound.

> Manus' two co-founders, CEO Xiao Hong and chief scientist Ji Yichao, were summoned to Beijing for talks with regulators in March and later barred from leaving the country, five sources familiar with the matter said.

Will be interesting to see how this plays out.

skeledrew27 minutes ago
The co-founders have roots in China. As such it's already a done deal that China will get its way.
throw03172019about 1 hour ago
Dealt with is the founders / team / investors losing out of the $2B. That’s the punishment from China.
giwookabout 1 hour ago
Somehow I think there is a real possibility more will happen.

Barring them from leaving the country feels a bit sinister for people who haven't been accused of committing any crimes.

I don't claim to know what's going on outside of what's being reported, but I'm reminded of other individuals who have "stepped out of line" (as determined by Beijing) and were also either barred from the country or mysteriously disappeared for weeks or months at a time only to randomly reappear at some point singing a different tune.

ahmadyan22 minutes ago
> Barring them from leaving the country feels a bit sinister for people who haven't been accused of committing any crimes.

Pure speculation on my part, but i wouldn't be surprised if China didn't have our equivalent of export control laws, not difficult to fabricate a crime and pin it on founders.

soperjabout 1 hour ago
> Barring them from leaving the country feels a bit sinister for people who haven't been accused of committing any crimes.

Feels like Guantanamo Bay all over again.

guywithahat20 minutes ago
> Barring them from leaving the country feels a bit sinister for people who haven't been accused of committing any crimes

I don't think it's actually that uncommon in China, especially with high profile people. To China's credit, we often bar people from leaving the country if they're charged with a crime but not convicted of anything. While it's certainly scary and authoritarian, I think it's par for the course in China. Most companies have some amount of CCP representation in them, either on the board or some level of management.

itopaloglu83about 1 hour ago
Looks like the issue will be “dealt with” though we don’t know how exactly.
paulsutterabout 2 hours ago
It's easy to see how this will play out. The entrepreneurs will get nothing. Most likely everyone else that has been paid (investors, etc) will keep what they received. Whether Meta or the CCP ends up with the proceeds of the entrepreneurs, that's anyone's guess.
stego-techabout 2 hours ago
I suspect this is more of a warning shot to others attempting the same playbook ("Singapore-washing", as I've heard folks call it): the state is watching, and shifting geopolitics means it's in their interest to retain successful talent and entities at home rather than let opposition have them.

If anything, I'm genuinely surprised it took them this long. America's been doing this for decades without much in the way of pushback, so China must feel very confident in its position to use such tactics.

aeschabout 2 hours ago
I don't know if America has done anything quite like this. The example I'm looking for is where a company starts in the US but leaves and incorporates outside the US and then the US attempts to block acquisition by a foreign company. Also, the enforcement mechanism while vague seems un-American. America might tax the company upon exit but it wouldn't hold the founders hostage in America. If you have examples I'd be curious.
vkou29 minutes ago
The US doesn't need to do 'something like this', they can just bar you from the global financial system if they don't like you. [1]

Or just order another country to snatch you up.

> https://en.wikipedia.org/wiki/Meng_Wanzhou

She was arrested, and was being extradited from Canada into the United States... Because her Chinese company was doing business with Iran.

> https://en.wikipedia.org/wiki/Viktor_Bout

This chap was arrested in Thailand, extradited, and did a decade in a US prison because he had the audacity of selling weapons from Russia to Colombia. I'm not sure how exactly US law is of any relevance to such transactions...

---

[1] Or, since 2025, just shoot a missile at your boat, with an option for a follow-up salvo if there any survivors. Strangely enough, everyone who has managed to survive both the initial attack, and the double-tap has so far been repatriated to their countries of origin, with no charges filed by the US.

rzerowanabout 2 hours ago
Famously back in the day Grindr , which had a plot point in the Silicon Valley series . Probably more obscure ones that havent been heard of outside software in the Hard tech space like MotorSich (Ukranian) was being courted by Chinese investment got blocked due to US pressure. And very recently the whole TikTok fiasco.
strangegeckoabout 2 hours ago
What examples do you have of the US government doing to CEOs what has happened to people like Jack Ma and many other public figures?

For China, there are so many examples of people doing 180s and being full of contrition after those interventions, it's hard to imagine anything but severe intimidation or worse happening behind closed doors.

reissbakerabout 2 hours ago
You've been all over this this thread responding with the same whataboutist comments claiming America does the same thing. And yet, I'm pretty sure America hasn't held American citizens hostage in order to force them to unwind a sale of a foreign company they founded to a different foreign company.
stego-techabout 1 hour ago
You're right. To my knowledge, we don't hold citizens hostage to force them to unwind the sale of a foreign company they smuggled out of America into another country to a different foreign company.

But you cannot seriously hold America up as blameless when we've wielded our economy as a cudgel against anyone we remotely disagree with (sanctions against Cuba, Iran, China, Russia, etc; tariffs against everybody), have military bases scattered around the world to invade anyone at a moment's notice, regularly park our navy off foreign shores to coerce desired outcomes, and dronestrike civilians as a final saber-rattling before full-fledged conflict.

The details change, but the fundamental playbook - using state violence to coerce outcomes favorable to said state - is far from new. Hell, take a look beyond the past thirty years of history and there's a glut of incidents where empires used this sort of leverage to achieve outcomes - including the United States! We've traded political prisoners to achieve negotiated outcomes repeatedly, we just use different words to make ourselves feel better about it. We've propped up entire puppet states to ensure American corporate interests were served instead!

Like, holy shit, why do I have to teach you naysayers what's already outlined in history books just because you can't be bothered to do the assigned reading?

maxgluteabout 1 hour ago
US absolutely has exit bans on people who break/is being investigated for national security and export control laws, which is what Manus did. Except Americans don't call it hostage taking when they do it.
maxgluteabout 1 hour ago
This just PRC finally applying their version of US export controls, i.e. PRC gets to control PRC originated algos, same argument as TikTok. The founders aren't held "hostage", they're under investigation for violating export control and national security laws. PRC hinted signalled pretty clearly they would use art12 (catch all clause) of export control laws and offshore affiliate rules (to address Singapore loophole) before Manus deal closed - Manus ignored loud hints. The difference is PRC wasn't super judicious in enforcing AI related export controls (especially since agent development new hence art12), US would have ensured this control list tech wouldn't leave US territory via foreign product rule / CFIUS / BIS. PRC gave pretty clear signals to Manus what was going to happen hoping they'd unwind on their own, but they didn't so now they're going to eat shit.

PRC still haven't gone the step up to ban PRC strategic talent from working in US like US has for PRC semi. Don't be surprised in 5-10 years US has to hire PRC workers with obfuscated identities like PRC dealing with US/TW talent in PRC EUV. Plenty more room how these things can escalate depending on how serious PRC starts to treat dual use AI.

orange_joeabout 2 hours ago
interesting. Manus is nominally a Singapore based company and should be immune to these actions. Tiktok argued that it was headquartered in Singapore with a Singaporean CEO. breaking singapore’s fig leaf might prove problematic in the long run.
nerdsniperabout 1 hour ago
The founders are Chinese citizens, and pressure was applied to the founders personally. Thus Singapore was given room to save face re: sovereignty.
pear01about 1 hour ago
Sen. Tom Cotton (R-AR):

So you said today, as you often say that you live in Singapore. Of what nation are you a citizen?

Shou Chew:

Singapore.

Cotton:

Are you a citizen of any other nation?

Chew:

No, Senator.

Cotton:

Have you ever applied for Chinese citizenship?

Chew:

Senator? I served my nation in Singapore. No, I did not.

Cotton:

Do you have a Singaporean passport?

Chew:

Yes, and I served my military for two and a half years in Singapore.

Cotton:

Do you have any other passports from any other nations?

Chew:

No, Senator.

Cotton:

Your wife is an American citizen. Your children are American citizens?

Chew:

That's correct.

Cotton:

Have you ever applied for American citizenship?

Chew:

No, not yet.

Cotton:

Okay. Have you ever been a member of the Chinese Communist Party?

Chew:

Senator? I'm Singaporean, no.

Cotton:

Have you ever been associated or affiliated with the Chinese Communist Party?

Chew:

No. Senator, again, I'm Singaporean.

HSO24 minutes ago
what part of they are chinese citizens was hard for you to understand?
pear0117 minutes ago
i understand that perfectly, which is why i responded sarcastically to a point trying to connect this to TikTok's "argument" re their Singaporean CEO by pasting an infamous digression on that very topic, which impressed no one.

seems to have gone over your head... i edited out the crack about your iq, which was done only because you chose to engage that way to begin with. i would respect an apology for misreading me more than trying to sanitize your earlier arrogance, but c'est la vie.

zonkerdonkerabout 2 hours ago
>not immediately clear on what grounds China was seeking the annulment of a deal involving a Singapore-based company and how, if at all, a completed acquisition transaction would be unwound.

Interesting. I wonder what sorts of threats China could make to back up this demand, or if this is more of a warning for future acquisitions in the space.

some_randomabout 2 hours ago
"Your families live here", maybe "We have shadow police stations across the world", the playbook is well established
Detrytusabout 2 hours ago
That's interesting, because recently China is definitely trying to paint themselves as the reasonable, stable partner, commited to upholding international law (unlike the US, which is ruled by a madman) . Trying to block this aquisition without good legal argument goes directly against that strategy.
strangegeckoabout 1 hour ago
They're doing a lot that goes against that strategy, you just don't see it in the headlines except in cases such as these or when you dig into how they conduct international negotiations or business deals involving the Chinese market.

Not to mention how they are openly expansionist in the SCS and obviously wrt Taiwan.

Of course they want to be seen as reasonable, their ideal is to control the international narrative just how they can do it internally in China.

stego-techabout 2 hours ago
I mean, they're just cribbing what America did, and what the British Empire did before that.

It's a disgusting playbook, but it's also an effective one if you're a state trying to exert control over important players or entities.

catgaryabout 2 hours ago
I think you need to give some concrete examples, considering the US happily let its companies offshore a lot of work to China over the years, and Chinese funds own large chunks of American companies.
some_randomabout 2 hours ago
Not even getting into the more dubious part of this claim, just because the British or Americans did it doesn't mean it's right or acceptable. If you disagree with that, you're implicitly pro slavery, pro penal expeditions, etc.
dublinstatsabout 2 hours ago
Like when the British empire would execute anyone who tried to export silkworms. Wait no that was the Chinese empire.
godelskiabout 2 hours ago
I'm really unfamiliar with this playbook and how America has used it. Do you have any examples? I can't seem to find any
giancarlostoroabout 2 hours ago
Funny when you consider the world owes a lot of AI advancements to both Meta and Google, their open releases really did shift things, feel free to correct me if I'm wrong, especially for China, which as far as I know were not releasing as much in AI as they have been beforehand. I remember when Meta released Llama originally people were speculating about it, but it wound up producing a lot of projects that used it, I'm sure some in China. I know that Perplexity has its own custom model on top of Llama that they use for their default model, and its pretty darn good.
henry2023about 2 hours ago
Wasn’t Llama a leak that got so popular meta decided to change their whole approach?

I was working at Google at the time. Before Llama, releasing weights was not even worth a discussion.

calebkaiserabout 2 hours ago
If I'm remembering right, it was weirder than that, as Llama's originally release strategy was sort of bizarre.

You did have to apply for access, but if you met their criteria (basically if you were the right profile of researcher or in government), you got direct access to the model weights, not just an API for a hosted model. So access was restricted, but the full weights were shared.

I believe that the model was leaked by multiple people, some of which didn't work at Meta but had been granted access to the weights.

giancarlostoroabout 2 hours ago
Not sure, but open weights have had their effects. For example, look at Wan 2.2 the last open weights Wan release, still the most powerful Video inference out there, to the level of quality it provides, unfortunately, it went closed source, but before they did, the community had built all sorts of tooling and LoRas on top of it. Nothing comes close for video a year later. Back to llama though, look at all the open models people run offline through their Macs. It definitely had a net positive.
efieldsabout 2 hours ago
The… hands of fate?
_fat_santaabout 2 hours ago
Besides the fact that the founders are in China and are barred from leaving, is there anything that prevents Manus/Meta from just telling the CCP to kick rocks?

Sure they can object to it or claim they are "blocking" the sale, but is there really anything they can do considering that Manus is no longer within their jurisdiction?

reissbakerabout 2 hours ago
I think it's precisely the fact that the founders live in China. The CCP can make them... kick rocks... for the rest of their lives.

Generally speaking this seems bad for Chinese companies, though. They were able to raise capital from the West by running out of "Singapore"; I think basically every investor will have significant pause investing in Chinese-national-owned startups after this, "Singapore-based" or not.

kccqzyabout 2 hours ago
The CCP is known to be very aggressive. Even if the founders acquired Singaporean citizenship (which is way easier for ethnic Chinese people than for other races), the CCP would have taken them hostage if they just set foot in China like for a business trip. They can invent a crime and subject them to a trial with Chinese rules. What can Singapore do? It’s a tiny country that tries to walk a tightrope by simultaneously maintaining good relations with both China and the U.S.
r14cabout 2 hours ago
They wouldn't have to "invent a crime", circumventing state interests in strategic technology is likely already illegal.
peloratabout 1 hour ago
> which is way easier for ethnic Chinese people than for other races

Nationals. The word you are looking for is nationals.

deepfriedbitsabout 2 hours ago
Not only that, but they can make life inconvenient for your family. Nobody reasonable would accuse the CCP of outright violence, but there are a million bureaucracy-related tricks the state can pull to leverage you and/or your family.
meisterbrendanabout 2 hours ago
"Nobody reasonable"??
baqabout 1 hour ago
> Generally speaking this seems bad for Chinese companies, though.

Anyone who has ever thought otherwise was just naive. This is anything but news. If you’ve had an impression that China capital market is free and western-like, you were right - it was an impression. Always has been.

dmixabout 2 hours ago
Just look at the Jack Ma case https://www.cnn.com/2022/05/04/business/china-jack-ma-rumor-...

They kept him under house arrest for years and now he complies

pishpashabout 1 hour ago
Are you really asking whether business deals can be unwound for whatever reason, like how ASML is "forbidden" to sell to certain customers after contracts are signed?
qaK127about 1 hour ago
Obviously. With the US first controlling Venezuelan energy supplies to China and then cutting of Iranian energy supplies to China (as well as to the EU), what do you expect?

China isn't as stupid as the EU, which just says thanks and would you perhaps like to blow up another pipeline?

Hormuz will stay closed by the pirates. LNG terminals are already built in Alaska to supply the Asian "allies", whose economy the US also ruins.

If the EU had any backbone, it would cut off the US from ASML.

kubbabout 1 hour ago
Somehow this is about the EU?
hasbr1236 minutes ago
US controlling the world's energy routes goes back to the Suez Crisis, where it wrestled the canal from Britain. Reagan blew up a Russian-German pipeline. The Nord Stream sabotage was at least condoned and cheered on. Now the closure of Hormuz was first provoked and then co-opted by the US.

Yes, this is about the rest of the world.

verdvermabout 1 hour ago
The world order is early on in a major restructuring. The EU is a major region and on a path to greater self reliance and determination. This is good for the world imo (as an American)
DeathArrowabout 1 hour ago
>If the EU had any backbone, it would cut off the US from ASML.

ASML depends on a lot of US technologies.

hirako2000about 2 hours ago
Funny that Manus already shows "by meta" along with the logo pretty prominently.
laweijfmvo11 minutes ago
This is interesting. I wonder what inside information China could also be after that Manus might have after integrating with Meta.
OsrsNeedsf2Pabout 2 hours ago
This will be awkward, given the acquisition is already complete
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some_randomabout 2 hours ago
Can we finally acknowledge the obvious Singapore-washing that Chinese companies have been doing for years or are we going to keep pretending?
arjvikabout 2 hours ago
elaborate on the problem, for those of us that this is not obvious to?
some_randomabout 2 hours ago
Chinese company has an issue being a Chinese company for international legal or optics reasons, relocates to Singapore while still being controlled by Chinese nationals or all-but-Chinese-Nationals. Bytedance is a great example. Russian companies do the same thing with Switzerland, see Kaspersky.
dublinstatsabout 1 hour ago
They could just as well relocate to California for that matter.

The question is are they still controlled by the PRC. China doesn't allow dual citizenship (like other Asian countries), so people might legitimately want to work abroad while keeping their native passport.

hereme888about 2 hours ago
Poor Meta. AI is really just not working out for them.
KaoruAoiShihoabout 2 hours ago
Manus is saved, 2 billion is such an undervaluation considering much worse companies like minimax is valued at 30 billion.
jorblumeseaabout 2 hours ago
So China is just claiming that anyone who is ethnically Chinese should be pressured? Manus is in Singapore and has no direct connections to China physically and financially. SG offices, SG product, SG founders with family on the mainland.
maxgluteabout 1 hour ago
Manus started in China, built by Chinese talent, hence all their work under purview of PRC export control laws, PRC merely closing loophole on SG washing. They haven't even done nuclear option like banning PRC from working in US AI like US has done in PRC semi.
baqabout 1 hour ago
First time interacting with a totalitarian government?
cyanydeezabout 1 hour ago
Coming to an America near you!
outside1234about 2 hours ago
What leverage does China have here to enforce this? Meta doesn't do business in China. Can't they just give them the middle finger?
ls612about 2 hours ago
“Wouldn’t it be a shame if your family’s organs were harvested?”

That is the leverage that China has.

umeshunniabout 2 hours ago
Meta absolutely does business in China. e.g. https://www.metacareers.com/v2/locations/shenzhen/?p[offices...

https://www.metacareers.com/v2/locations/shanghai/?p[offices...

https://www.metacareers.com/v2/locations/hongkong/?p[offices...

I also assume, like most advertising platforms, they cater heavily to the China export market.

dublinstatsabout 2 hours ago
I don't think their social networks are allowed in China.

From your link it looks like they might do R&D for Oculus in China (but may not even be able to sell it there due to the data-collection tie in required).

Not sure what you mean by catering to the export market. b2b sales would be just as restricted as sales to consumers.

umeshunni39 minutes ago
> b2b sales would be just as restricted as sales to consumers.

They're not. A significant part of ad spend by the likes of Temu, AliExpress, Shein and other Chinese exporters are on Meta's platforms: e.g. https://www.cnbc.com/2024/01/31/metas-continued-rally-could-...