Butterfly Effect, the startup behind the popular AI agent Manus, has disbanded its entire team in China as part of a strategy to mitigate geopolitical risks. With the U.S. as its primary target market, the move follows the company’s earlier relocation of its headquarters from China to Singapore, where its founders also relocated.
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Backed by Benchmark, Butterfly Effect is now aggressively hiring for new offices in California and Tokyo. The decision to fully wind down operations in China reflects a growing trend among tech startups with global ambitions, which are increasingly distancing themselves from the country to avoid political pressure and secure access to Western markets.

