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They don’t know what they want, but unfortunately it ain’t you.
Only the person you spoke to can provide true clarity, but if the position was not yet defined when they spoke to you, they probably defined the position since then and decided you weren’t the right fit. That happens all the time when roles are speculative, especially at the senior level.
Without really knowing what is happening behind the scenes, I would say either the potential position changed or they didn’t have a clear picture of what it was supposed to be. The silver lining may be them keeping you in mind for something down the road though.