OpenAI Scraps Sora Video AI, Cancels Disney Deal in Cost-Cutting Push

What Happened In a stunning reversal, OpenAI made sweeping changes to its product lineup on Tuesday, effectively ending its push into AI video generation. The company announced it would permanently discontinue Sora, the AI video creation tool that had generated massive excitement since its initial demo but was never widely released to the public. The cuts extended beyond Sora itself. OpenAI also removed video generation capabilities from ChatGPT and terminated its planned $1 billion content partnership with Disney.

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OpenAI Shuts Down Sora, Disney Exits $1B AI Deal

What Happened On March 24, 2026, OpenAI made the surprise announcement that it is discontinuing Sora, its flagship AI video generation app that allowed users to create videos from text prompts. The decision comes just six months after the company launched the standalone Sora app with significant fanfare. The shutdown immediately killed OpenAI’s partnership with Disney, which had announced plans in December 2025 for a $1 billion investment in the AI company.

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OpenAI Plans to Integrate Sora Video Generator Into ChatGPT

What Happened According to a report from The Information, OpenAI is working to integrate Sora, its advanced video generation AI, directly into ChatGPT. Currently, users must access Sora through its dedicated website at sora.chatgpt.com or download a separate mobile app to create AI-generated videos. The integration would mirror OpenAI’s previous addition of image generation capabilities to ChatGPT, allowing users to create videos using simple text prompts without leaving the main ChatGPT interface.

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