OpenAI kills Sora video app in pivot toward business tools

2026-03-24 - 23:51

OpenAI is facing increasing questions about the sustainability of its business model, with costs skyrocketing faster than revenue. (Reuters pic) SAN FRANCISCO: OpenAI said Tuesday that it would shut down its Sora artificial intelligence video generation app barely six months after its launch, as the company shifts toward business tools ahead of a potential stock market debut. “We’re saying goodbye to Sora,” the company posted on X. The shutdown marks the end of one of the most high-profile consumer AI product launches of the past year. OpenAI said it would later provide timelines for winding down the app, as well as details on how people can preserve their work. The closing comes at a sensitive time for OpenAI, which faces increasing questions about the sustainability of its business model, with costs skyrocketing far faster than revenue despite having about one billion daily users worldwide. According to The Wall Street Journal, OpenAI chief executive Sam Altman announced the changes to staff on Tuesday. It also follows reports that OpenAI’s applications chief, Fidji Simo, told staff this month that they could not be distracted by “side quests”, outlining a push toward agentic AI capabilities. These are AI systems that can work autonomously on computers to write software, analyze data and carry out other tasks.