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Friday, October 23, 2026

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Runway charges a 414% markup on the same video model, a founder claims, as he launches a 0% alternative

Runway charges a 414% markup on the same video model, a founder claims, as he launches a 0% alternative

A founder's claim that AI video API resellers mark up model costs by as much as 414% took off on X.

On Oct 22 David Im wrote that he was "terrified about how much markup API providers charge for simply routing the models," claiming Higgsfield adds 40% even at its best discount, Fal adds 100%, and Runway adds 414% on Seedance 2 at 480p. He then launched Sume API with 0% markup, saying Seedance 2.5 at 1080p runs 50% cheaper than Fal or Higgsfield. The post drew 3,600 likes, 4,400 bookmarks and 510,000 views.

"The routing infrastructure layer is never the moat," Im wrote, arguing APIs will be commoditized and value will move to the application layer. The comparisons are his own; the companies named have not responded.

“As a builder in the AI video space, I was terrified about how much markup API providers charge for simply routing the models.”

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