Meta acquires Butterfly Effect, developer of Manus, in a multi-billion dollar deal; Xiao Hong becomes Vice President at Meta

TechFlow news, on December 30, according to LatePost, Meta has acquired Butterfly Effect, the company behind the AI application Manus, for several billion dollars. This marks Meta's third-largest acquisition since its inception, following only WhatsApp and Scale AI. After the acquisition, Butterfly Effect will continue operating independently, with founder Xiao Hong serving as Vice President at Meta. Manus is an agent product capable of orchestrating various tools to solve complex problems, and it announced in mid-December that its annual recurring revenue had surpassed $100 million. This acquisition represents a significant step forward for Zuckerberg's vision of achieving "super intelligence." The deal was reportedly negotiated within just over ten days, and prior to the acquisition, Butterfly Effect was raising a new round of funding at a $2 billion valuation.