AI | OpenAI halts Sora, Disney's $1 billion investment ends

SighingCashier · 2026-03-25T05:32:25+00:00

OpenAI announced that it will suspend its video generation application Sora and end its collaboration plan with Disney, focusing on commercial and programming features to control costs in preparation for its initial public offering (IPO). The Sora team stated that it will share more information about user work preservation and other features. Sora surpassed 1 million downloads within 5 days of its launch.

SighingCashier

2026-03-25 05:32:25

Abstract generation in progress

Artificial Intelligence (AI) startup OpenAI announced that it will pause the launch of Sora, a video generation app launched just six months ago, and gradually withdraw from some costly projects to focus on commercial and programming features, control costs before its initial public offering (IPO), and other priorities. OpenAI also announced that its partnership with Disney, including a $1 billion investment plan, will come to an end.

The Sora team posted on social media, saying, “Goodbye to the Sora app. We know this news is disappointing,” and that they will share more information soon, including updates on the app and API schedule, as well as how users can save their work. A Disney spokesperson stated that they respect OpenAI’s decision and are shifting focus to other priorities.

In December last year, Disney announced a $1 billion investment in OpenAI, which would grant OpenAI licensing for over 200 Disney characters, including Disney, Marvel, Pixar, and Star Wars, allowing users to create and share AI-generated videos using Disney characters. The agreement is valid for three years. Some user-inspired Sora short videos will also be available for streaming on Disney+.

Reports indicate that within less than five days of its release in late September last year, Sora’s downloads exceeded 1 million. However, OpenAI is working to control costs to support its valuation of $730 billion and prepare for the IPO.

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