Impressive output, also amazing that a not-quite-as-good version is free and open source: https://liveportrait.github.io/

This doesn't obsolete motion capture? It doesn't seem to even be full body for one, seems to be for fixed camera and limited to head/face. Page title is more accurate: "Introducing Act-One - a new way to generate expressive character performances".

This doesn't make motion capture obsolete: 1) Mocap can be applied to rigged characters and 2) mocap can animate full-body rigs not just facial expressions.

Maybe video models can’t do all the problems. Can they do all the problems that are valuable to narrative media creators? What about business?

Odds seem high. “Solve all the problems” can mean “solve all the valuable problems.”

Runway’s biggest obstacle is not scientific. They have to convince VCs to not index on all AI startups - a historically winning strategy in finance - and instead focus capital on the two leaders in any race, at any cost, because 5x $200m investments will fail by being not enough money instead of too much. Runway needs billions of dollars to do what they are doing!