Nvidia-backed AI model company tells CNBC it's launching major UK expansion

Runway, an American AI firm, is gearing up for a significant expansion in London, as revealed in an exclusive report. This move follows similar trends from other U.S. technology giants like Anthropic and OpenAI, who are also seeking to capitalize on the rich commercial and talent landscape in the capital. Runway has announced plans to establish London as its European headquarters, committing over $200 million to bolster the U.K.'s AI ecosystem by 2028. Recently, the company secured $315 million in a Series E funding round, with contributions from notable investors including General Atlantic, AMD Ventures, and Nvidia, pushing its valuation to an impressive $5.3 billion. "London places us in close proximity to many of our key European clients who are already engaged in notable projects with Runway, such as BBC, Fremantle, and WPP. Additionally, it enhances the research team we currently have based here," stated Anastasis Germanidis, co-founder and Co-CEO of Runway. He emphasized the exceptional talent available in London, asserting that the city was the ideal choice for their expansion. Looking ahead, Germanidis expressed intentions to further extend their footprint across Europe. Runway is focused on developing world models—AI systems that can learn from inputs like audio, images, videos, and real-world data. This differs from large language models (LLMs), which primarily process and generate text. Alongside these models, Runway offers an array of video creation and editing tools. Kanishka Narayan, the U.K.'s AI minister, commented on Runway's new London hub, highlighting its potential to drive advancements across various sectors, including film, gaming, science, and robotics. He reiterated the U.K.'s ambition to attract the world's leading AI firms, noting that Runway's commitment exemplifies this goal. Runway joins a growing list of U.S. AI companies announcing substantial expansion plans in London. Just this past April, Anthropic disclosed its plans to enhance its London presence with a new office space accommodating 800 employees, shortly after OpenAI announced the opening of its first permanent office in the city. Google is also set to relocate employees to a new U.K. headquarters this summer.