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OpenAI to Shut Down Sora App Amid Strategic Shift

OpenAI to Shut Down Sora App Amid Strategic Shift

Post by : Bianca Haleem

OpenAI has announced that it will shut down its artificial intelligence video generation app Sora, just six months after its launch. The company shared the update through its official account on X, stating, “We’re saying goodbye to Sora.”

The decision marks the end of one of the most high-profile consumer AI product launches in recent times. OpenAI said it will soon provide a clear timeline for shutting down the app and guide users on how to save or preserve their existing work.

This move comes as the company shifts its focus toward business-oriented tools and advanced AI systems. Reports suggest that OpenAI is prioritising “agentic AI,” which refers to AI systems capable of working independently—such as writing software, analysing data, and performing complex tasks without constant human input.

According to a reports, CEO Sam Altman informed employees about the change internally. The decision also follows internal discussions encouraging teams to avoid distractions and focus on core AI developments.

The shutdown comes at a crucial time for OpenAI, as the company faces growing concerns about its business model. Despite having around one billion daily users globally, its operational costs are reportedly increasing much faster than its revenue.

Additionally, a report by The Hollywood Reporter indicated that the closure of Sora could impact a major deal signed with Disney. The agreement reportedly involved a $1 billion investment and plans to use Sora technology for creating video content featuring Disney characters, possibly for its streaming platform.

In response, Disney stated that it respects OpenAI’s decision and will continue exploring AI technologies to connect with audiences while protecting intellectual property and creators’ rights.

The shutdown of Sora highlights OpenAI’s shift away from consumer-facing tools toward enterprise solutions and next-generation AI capabilities as it prepares for future expansion.

March 25, 2026 11:27 a.m. 1532
Global News World News Tech News

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