In early 2024, ByteDance offered $30 million for a small AI startup in Beijing.
The company's CEO declined.
Eighteen months later, the same company was sold to Meta for over two billion dollars.
The question is, why wasn't the deal finalized when a giant like ByteDance was on the table? Why didn't they stay in China and grow? The answer to this question is found in the story of Manus AI, a Chinese AI company that changed the way global startups are thought.
The story begins in 2022, when Xiao Hong founded Manus AI in Wuhan, China. Xiao Hong wasn't a renowned founder or a star engineer. He was simply a man who believed that the next step in AI wouldn't be just chatbots. The future would belong to AI agents that could think, plan, adapt, and complete tasks independently from start to finish.
This wasn't ordinary technology. It was a glimpse of the future the world was moving towards.
By March 2025, Manus AI launched its first general-purpose AI agent. This AI could code, analyze data, and manage entire workflows with very few instructions. The world had never seen anything like it before.
Within weeks, millions of users and businesses had joined. The company's revenue quickly reached billions of dollars. Investors were now eyeing Manus.
But there was a silent problem in China's tech ecosystem.
The same regulations that gave Manus access to cheap computing, excellent talent, and robust infrastructure were also hindering its global growth. Foreign investment was complicated. There were restrictions on international listings. And cutting-edge AI had become a matter of geopolitics, not just technology.
The story of Alibaba was a prime example of this. Its global ambitions were entangled in regulations. IPOs were stalled. Expanding outside China became a political game.
TikTok also understood this truth. The app started in China, but its leadership moved to Singapore. Not to escape, but to connect with the world without walls.
Xiao Hong realized that if Manus remained solely in China, no matter how brilliant its technology, it would never reach the global stage.
That's why, in mid-2025, Manus AI made a very bold decision. The company's headquarters was moved to Singapore.
The Beijing roots remained, but the passport became Singaporean.
The team was restructured. Sensitive Chinese connections were removed. Ownership and operations were changed to make Manus a neutral global company, with Chinese thinking and talent.
Initially, there was criticism. Many called it a risky move.
But this decision changed everything.
By the end of 2025, Meta had its sights set on Manus. Facebook's parent company had spent billions on AI infrastructure, but it lacked a truly profitable consumer AI product.
Manus provided exactly what Meta was looking for: a proven, autonomous AI agent with global users and a rapidly growing subscription base.
The deal didn't take long. In December 2025, Meta acquired Manus AI for approximately $2 to $3 billion. This was one of Meta's largest AI deals in recent years.
Manus remained headquartered in Singapore. Chinese ownership was completely eliminated. The team joined Meta, and Xiao Hong became Vice President of the Global AI Division.
From a $30 million offer to billions in sales in just two years.
But the real lesson of this story isn't just about money.
The real lesson lies in the path Xiao Hong chose.
Build in China. Harness local talent. And then, at the right time, break free from the regulatory cage that could hinder global takeoff.
This is the new playbook for Chinese innovation in today's world.
Scaling globally in the twenty-first century means not just having the best technology, but also understanding the politics and regulations.
Manus AI didn't just sell an AI product.
It blazed a trail for all founders who dream beyond boundaries.
Xiao Hong's story teaches us that the world doesn't wait for permission.
It rewards those who are courageous, strategic, and unwavering.
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