Which companies are leading in AI video generation?

Runway and Luma AI have captured most venture capital dollars among startups building video-generation models, though competition is intensifying from new models emerging from China.

How much funding did AI video startups receive this year?

Funding this year is at its highest level yet, with $5.6 billion（約9000億円） invested, up over 43% from 2025's annual total.

What is Google DeepMind's partnership with A24 focused on?

The two companies are partnering to develop AI tools for filmmakers, with Google gaining access to A24's creatives and research signals.

Video GenerationYahoo Finance AIJun 26, 2026Jun 27, 2026, 01:01 JST1 min read

Google DeepMind invests $75M in A24, signaling shift from video tools to content

Send on LINE

Key takeaway

Investment in AI video startups has tripled over five years and reached record funding this year, but the market is now shifting from backing video-generation tools to funding creative studios that use those tools.
Google DeepMind's $75 million（約120億円） investment in filmmaker-focused studio A24 exemplifies this trend, suggesting investors believe the next layer of value lies in content creation and end products rather than the underlying technology.

3 Key Points

What happened
Google DeepMind invested $75 million（約120億円） in indie film studio A24 this week, with the two companies partnering to develop AI tools for filmmakers. Investment in AI video and media tech startups has more than tripled over the past five years, reaching $5.6 billion（約9000億円） this year, up over 43% from 2025's annual total.
Why it matters
The market is shifting beyond competition over video-generation technology itself. Video generation is becoming easier to build, with new models from China rivaling US and European products, and incumbents developing their own AI capabilities. This means the real value may now lie in content creation and end products, not just the software layer—a change that opens opportunities for creative studios alongside tech companies.
What to watch
VCs are beginning to fund AI-native or AI-powered studios. Promise has raised funding from backers including Andreessen Horowitz and Google's AI Futures Fund, and London-based Wonder raised $12 million（約19億円） from investors including Atomico and LocalGlobe.

Ask the AI about this article →

Summaries like this, in your inbox every morning.

Get news like this every morning — free

FAQ

Which companies are leading in AI video generation?: Runway and Luma AI have captured most venture capital dollars among startups building video-generation models, though competition is intensifying from new models emerging from China.
How much funding did AI video startups receive this year?: Funding this year is at its highest level yet, with $5.6 billion（約9000億円） invested, up over 43% from 2025's annual total.
What is Google DeepMind's partnership with A24 focused on?: The two companies are partnering to develop AI tools for filmmakers, with Google gaining access to A24's creatives and research signals.

Yahoo Finance AIRead Original Article

Send on LINE