OpenAI Kills Sora Video App in Pivot Toward Business Tools

Company shifts focus to enterprise AI tools

March 25, 2026 at 8:56 AM
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ISLAMABAD: OpenAI has announced it will shut down its artificial intelligence video-generation app Sora, just six months after its launch, as the company pivots towards enterprise-focused tools ahead of a potential stock market listing.

In a post on X, OpenAI confirmed the decision, stating: “We’re saying goodbye to Sora.” The move signals the end of one of the most prominent consumer AI product launches in recent times.

The company said it would share further details on the timeline for closing the standalone app, along with guidance for users on how to save their work.

The decision comes amid growing scrutiny over OpenAI’s business model, as its operational costs continue to rise significantly faster than its revenue, despite reportedly having around one billion daily users worldwide.

Internal messaging

According to The Wall Street Journal, chief executive Sam Altman informed staff of the development on Tuesday. The shift also aligns with internal messaging from applications head Fidji Simo, who recently urged employees to avoid “side projects” and instead focus on advancing agentic AI capabilities.

These systems are designed to operate independently, performing tasks such as writing software, analysing data and managing workflows on computers.

Reports suggest the closure of Sora may also impact a major agreement signed in December with Disney, which had planned to invest $1 billion in OpenAI and explore the use of its characters for AI-generated video content.

A Disney spokesperson said the company respects OpenAI’s decision and will continue exploring partnerships with AI platforms, while ensuring the protection of intellectual property and creators’ rights.

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