OpenAI is pulling the plug on its Sora video platform, discontinuing both the consumer app and developer API and removing video functionality from ChatGPT, as CEO Sam Altman redirects computing resources and talent toward productivity, coding, and agentic tools ahead of a potential IPO as soon as Q4 this year. The shutdown also effectively kills a $1B Disney deal announced in December, under which OpenAI was set to license more than 200 characters for AI-generated video content, with Disney saying it “respects OpenAI's decision to exit the video generation business.” The move is part of a broader strategy consolidation that includes combining ChatGPT, its Codex coding tool, and its browser into a single superapp, as OpenAI competes with Anthropic to win enterprise and developer customers.
OpenAI shuts down Sora video platform months after launch to refocus on enterprise and coding tools
Paul Drecksler is the founder and editor of Shopifreaks E-commerce Newsletter, covering the most important stories in e-commerce.
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