OpenAI confirmed it’s pulling the plug on Sora, its AI-powered video generation tool. The news was shared in a post on X: “We’re saying goodbye to Sora,” the company wrote, adding that more details on timing and how user content will be handled are coming soon.
The move comes despite strong early traction. After launching in 2024, Sora quickly gained momentum and became the most downloaded app in the Photo & Video category on the App Store. Users were creating highly realistic videos, often featuring well-known pop culture characters – something that sparked ongoing debates around copyright and deepfakes.
In September, OpenAI introduced a second-generation model with improved visual quality, audio support, and more realistic physics. But as the tech advanced, so did the backlash – especially from the entertainment industry, which raised concerns about its impact on creative jobs.
Sora was also tied to a broader partnership with Disney. In December, the two companies announced a three-year deal to bring popular characters into the video generator and develop new products, including for Disney+. Disney was also expected to invest $1 billion in OpenAI. With Sora now being shut down, that deal is effectively off the table.
The decision appears to be part of a broader shift in priorities. OpenAI has been leaning more heavily into text models, coding tools, and reasoning systems – areas that are currently driving more revenue. Compute constraints also played a role. As recently as late 2025, the company introduced limits on video generation due to chip shortages.
At the same time, competition in AI is heating up. Companies like Anthropic, with its Claude models, are gaining traction among businesses and developers by focusing on text and code rather than image or video generation.
Things move fast in AI. Not long ago, Sora was being pitched as a breakthrough, with the Disney partnership set to push it even further. Now the project is being shelved, which, from the outside, looks like a pretty major setback for both OpenAI and Disney. It’s still unclear whether OpenAI plans to return to video generation in another form down the line.