Singapore
China-born AI firm Manus moves HQ to Singapore amid scrutiny over US chip curbs, national security review
A photo illustration taken in Beijing on March 11, 2025 shows a mobile phone displaying an introduction screen for the AI assistant tool Manus, released by Chinese startup Butterfly Effect. — AFP pic

SINGAPORE, July 10 — The team behind Chinese artificial intelligence (AI) agent Manus has reportedly relocated its global headquarters to Singapore, fuelling speculation that the move was driven by a need to sidestep US export controls on advanced semiconductor chips.

Manus AI co-founder and chief product officer Zhang Tao confirmed the relocation during a keynote session at the SuperAI conference in Singapore last month, adding that the company also has offices in Tokyo and California.

"This company right now is headquartered in Singapore,” South China Morning Post reported, quoting Zhang. The company’s website also identifies Singapore as its global headquarters.

Originally developed in China by start-up Butterfly Effect, Manus gained international attention following its invite-only launch in March, and is seen as a prominent example of China’s AI innovation alongside DeepSeek.

Manus has denied that its move was related to chip access, stating it does not develop large language models (LLMs) and thus does not require advanced Nvidia chips.

The US Treasury Department is reportedly reviewing a US$75 million funding round led by California-based venture capital firm Benchmark, examining whether it falls under new investment rules targeting AI technologies that may pose national security concerns.

Singapore’s strategic position has made it a preferred base for several China-linked tech firms amid rising US-China tensions, potentially offering Manus better access to American investors and clients.

Butterfly Effect remains based in China, according to Singaporean daily Lianhe Zaobao, though the Manus team has begun recruiting in Singapore for roles including data analysts and AI engineers, with salaries ranging from US$8,000 to US$18,000 per month.

Other Chinese AI companies, including HeyGen and Genspark.AI, have also sought to expand overseas, relocating to the US to avoid regulatory constraints.

Manus’ expansion comes as it faces declining user engagement, with monthly active users falling from 20 million in March to about 10 million in May, amid increased competition from Chinese tech giants like ByteDance and Baidu.

Related Articles

 

You May Also Like