OpenAI has discontinued its artificial intelligence (AI) video-generation application Sora, less than two years after its launch garnered attention for producing realistic videos from simple prompts.
It will also terminate its $1 billion content partnership with the entertainment powerhouse Disney.
OpenAI, on Wednesday said that it has ceased operations of Sora to concentrate on other initiatives, including robotics “that will assist individuals in addressing real-world, physical challenges.”
A representative from The Walt Disney Company stated, “we respect OpenAI’s choice to withdraw from the video generation sector and to redirect its focus elsewhere.”
Disney will collaborate with alternative AI platforms to explore methods of responsibly making use of the technology while protecting intellectual property rights, according to a spokesperson.
Sora fails to generate profit for OpenAI
Sora was introduced in 2024, generating significant global interest due to the exceptional quality of its AI-generated videos. However, there were concerns regarding the potential profitability of the tool.
Since its launch, Sora has generated $1.4 million in global net in-app revenues, in contrast to $1.9 billion during the same timeframe for ChatGPT, as reported by Vice President of Insights, Seema Shah, at the market intelligence company Sensor Tower.
The application has also raised questions regarding copyright violations and the potential risks it presents to the media sector.
In December, Disney emerged as a new major studio to grant a license for its intellectual property (IP) to OpenAI for utilisation in its AI video applications.
The three-year agreement also allowed Sora users to produce AI-generated videos featuring Disney characters such as Mickey Mouse and Yoda from the Star Wars franchise.
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