New Delhi, April 28 -- Meta is planning to unwind its acquisition of AI startup Manus after the Chinese government banned the transaction on Monday on national security grounds, according to a new report by The Wall Street Journal, citing sources familiar with the matter.

The Mark Zuckerberg-led company had bought Manus AI last year for $2.5 billion and then worked on integrating the company's technology into its systems. Any attempt to reverse the deal is expected to be complex, requiring the company to disentangle operations, data, and technology that have already been combined.

Meanwhile, a Bloomberg report had noted that Manus staff have been integrated into Meta, funds have been dispersed, and the startup's leadership has joined th...