Some of the most ambitious AI startups are staking their futures on the art, and lawyers, of Hollywood. Runway and ElevenLabs have each raised hundreds of millions of dollars, promising to transform video and audio creation, landing deals with the likes Netflix, Lionsgate, Merlin Network,
In video and music: the industries where emotional stakes and copyright concerns are highest, these companies are chasing rapid adoption. This is even as unions, artists and judges scramble to define what AI can and cannot own.
Runway made its name with demo reels of AI-generated action scenes and motion-capture animations. It converted that splash into a reported trial run with Netflix in July for special-effects shots. Plus, exploratory talks with Disney about integrating AI into its content production pipeline. The startup also inked a partnership with Lionsgate to train a custom model on the studio’s film library, marketing the deal as a path to “enhance content creation and reduce production costs”. Investors have rewarded this momentum: Runway has raised over $545 million and is courting another half-billion-dollar round. This would value it north of $5 billion, despite posting heavy losses against under-$100 million in annualized revenue.
