Chinese AI agent startup Manus has relocated its headquarters to Singapore just four months after its global debut. The move comes as the company reportedly completed a US$75 million funding round led by Silicon Valley venture capital firm Benchmark, which valued Manus at US$500 million.

Sources indicate that Beijing Butterfly Effect Technology, Manus’s Chinese operating entity, has laid off most of its 120 staff in China. Around 40 core technical personnel have been transferred to the new Singapore headquarters. The remaining employees in China are receiving severance packages.

The relocation aims to mitigate the impact of US investment restrictions on Chinese AI companies and escalating US-China AI competition. Moving to Singapore also provides Manus with better access to international markets and computing resources.

Manus was launched in March 2025 and quickly gained traction for its ability to autonomously perform complex tasks, such as filtering resumes and analyzing stocks. Early access codes for Manus were reportedly reselling for as much as US$13,700 on secondary markets.

The company is now actively recruiting AI engineers, data scientists, and software development managers in Singapore, with salaries ranging from US$$8,000toUS\$$16,000 per month. Manus also plans to establish an office in Tokyo to expand into new markets including the US, Japan, and the Middle East.

Other Chinese AI companies, such as HeyGen, an AI startup founded by Joshua Xu, and WIZ.AI, established by former 360 executive Lu Jianfeng, have also shifted their focus or headquarters outside of China due to similar reasons.

🔗 Source: TMT Post

🧠 Food for thought

1️⃣ US investment restrictions are creating a new geography of Chinese AI

Manus AI’s relocation to Singapore directly coincides with the January 2025 implementation of the Biden Administration’s outbound investment regulations targeting Chinese AI companies.

These rules, which prohibit or require notification for US investments in Chinese entities working on sensitive technologies, create significant compliance risks and due diligence requirements for US investors 1.

The $75 million funding from Benchmark demonstrates how relocating allows Chinese AI startups to access US venture capital that would otherwise face severe restrictions under the new regulations 2.

This trend extends beyond Manus, with other Chinese AI companies like HeyGen and WIZ.AI making similar moves, creating a new map of AI innovation hubs designed to navigate geopolitical barriers.

The strategic relocation to Singapore offers these companies proximity to China’s talent pool while providing better access to international markets, computing resources, and capital. This effectively creates a “third path” in the increasingly polarized US-China tech ecosystem.

2️⃣ Chinese AI startups face a “war of a hundred models” at home

Manus AI’s international pivot reflects a broader trend of Chinese AI companies seeking refuge from what government officials call the “war of a hundred models”—an intensely competitive domestic landscape with over 100 AI startups competing for resources 3.

Recent Manus developments