AI video startup Runway raises $315M at $5.3B valuation, eyes more capable world models

AI video generation startup Runway has raised $315 million in funding at a $5.3 billion valuation, aiming to advance the development of next-generation world models—AI systems that create internal representations of environments to better predict and plan future events. Runway, known for its physics-aware AI video generation technology, recently released its Gen 4.5 model, which supports high-definition video generation from text prompts with features like native audio, longform and multi-shot generation, character consistency, and advanced editing tools. This model has outperformed offerings from Google and OpenAI on several benchmarks, boosting Runway’s credibility and likely contributing to investor interest. The new capital will enable Runway to expand its team of approximately 140 employees across research, engineering, and go-to-market functions, as well as to pre-train more capable world models for applications beyond media and entertainment, including gaming, robotics, medicine, climate, and energy. The company has also enhanced its infrastructure by partnering with CoreWeave to