"Meta Platforms META has acquired Singapore-based artificial intelligence startup Manus, which offers subscribers a general-purpose AI agent. We think Meta's strategy is to pair its massive distribution advantage with technology that people can actually use. Manus' annual recurring revenue is estimated to be north of $100 million, which implies Meta paid a 20x sales multiple for the firma quite affordable price, considering current AI valuations."
"While we don't know what Manus' profitability looks like, we do know that the firm was leveraging other models, such as Anthropic's, on the back end. We expect Meta to put in its own models once they're up to scratch, which will create another utilization/monetization angle. Strategically, we don't think Meta would've acquired Manus if the firm wasn't confident in its own model strategy. The synergies are at their highest if Manus becomes powered by Meta's large language models."
Meta Platforms acquired Singapore-based AI startup Manus, which provides a general-purpose AI agent capable of spinning up virtual computers to perform tasks. Manus reportedly has annual recurring revenue north of $100 million, implying an approximate 20x sales multiple. Manus had been leveraging external models such as Anthropic's on the back end. Meta plans to replace those models with its own when performance is sufficient, creating utilization and monetization opportunities. Integration of Manus' automation is expected to support a model launch around mid-2026 and to strengthen AI-powered advertising and the digital ad business thereafter.
Read at global.morningstar.com
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