Meta Ends Acquisition Talks with Runway AI Amid AI Talent Push

Meta Platforms CEO Mark Zuckerberg engaged in preliminary acquisition talks with AI video startup Runway AI as part of a broader strategy to enhance the company's artificial intelligence capabilities and assemble a "superintelligence" team. The discussions, however, did not advance to a formal offer or financial proposal stage and have since ended without a deal. Runway AI, valued at over $3 billion in 2024, specializes in AI-driven realistic video generation technology and was recognized on CNBC's Disruptor 50 list. Zuckerberg's recruitment push for top AI talent includes offering high salaries and exploring mergers and acquisitions like the potential Runway deal, although no concrete proposals materialized. Meta continues to invest heavily in AI and infrastructure, with capital expenditures of $13.7 billion supporting servers, data centers, and network infrastructure. Analysts generally maintain an "Outperform" rating on Meta's stock, reflecting cautious optimism about the company's future performance amid its AI expansion efforts.