Written reply to PQ on review on local AI start-up Manus' acquisition by Meta and implications on Singapore's AI ecosystem

Question:

Mr Low Wu Yang Andre: To ask the Deputy Prime Minister and Minister for Trade and Industry (a) whether the Competition and Consumer Commission of Singapore is reviewing Meta's acquisition of local AI start-up Manus; (b) how the Ministry assesses the impact of such acquisitions on the competitiveness of Singapore's domestic AI innovation ecosystem; and (c) whether the current merger notification framework remains adequate.

Written Answer by Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong

1.            Singapore adopts a voluntary merger notification regime to balance between effective regulatory oversight while keeping compliance costs low and not stifling innovation. Merger parties are expected to self-assess whether their transaction gives rise to potential competition concerns. They may approach the Competition and Consumer Commission of Singapore (CCS) for pre-notification discussions or seek guidance on whether the merger may be anti-competitive.

2.            CCS is not currently reviewing Meta’s acquisition of Manus. The parties involved have not notified CCS for a merger assessment and there has been no reason to suggest that the acquisition may result in potential competition issues in Singapore. CCS is empowered to step in if it obtains information suggesting otherwise.

3.            Singapore’s AI innovation ecosystem is a vibrant one, with many companies and start-ups developing a broad range of products and services. Mergers and acquisitions is a common exit strategy for start-ups and their investors, especially in a new, fast-growing sector. CCS will monitor developments in the AI market to ensure that it remains competitive and facilitates innovation.