Manus AI Agent Platform Slashes China Jobs, Suspends Mainland Operations Amid Global Shift

In a significant strategic pivot, Manus AI, a leading AI agent platform, has announced substantial layoffs in China and the suspension of its mainland services. The Chinese startup, which gained attention for its innovative AI solutions, is relocating its headquarters to Singapore as it eyes international markets and funding opportunities.

The decision comes amid escalating US-China tensions, particularly around technology and access to advanced components like Nvidia chips. Reports indicate that Manus has laid off a significant portion of its China-based workforce while retaining a smaller team of core engineers, many of whom are being shifted to Singapore to support the company’s global ambitions.

Manus, backed by prominent Silicon Valley investor Benchmark, had previously gone viral for its cutting-edge AI agent capabilities. However, geopolitical challenges and export controls have reportedly hindered its operations in China, prompting the company to erase its Chinese social media presence and disable its Chinese-language product offerings.

The relocation to Singapore is seen as a move to mitigate geopolitical risks and position Manus closer to international investors and clients. The company is actively hiring in Singapore, with plans to expand its team to over 20 new roles, signaling a strong focus on building a global presence in the competitive AI landscape.

This shift mirrors a broader trend among Chinese tech firms seeking to navigate the complexities of Sino-US relations. By moving operations abroad, Manus aims to secure better access to resources and markets, especially in the US, which is considered its largest target audience.

As the AI race intensifies, Manus’s exit from mainland China raises questions about the future of AI development in the region. Industry observers are watching closely to see how this move impacts the company’s trajectory and whether other startups will follow suit in response to similar regulatory pressures.