Overview
- OpenAI shuttered its Sora video tool on Tuesday, ending a planned $1 billion collaboration that would have put short AI-made clips with Disney characters on Disney+, and Disney said it will keep engaging with other AI platforms.
- Epic Games cut about 1,000 jobs on Tuesday, roughly 20% of staff, after a slump in Fortnite engagement, raising questions about Disney’s $1.5 billion plan for a Fortnite-linked Disney universe.
- ABC pulled a completed season of The Bachelorette after a leaked video showed an alleged violent incident involving planned lead Taylor Frankie Paul, a move that could cost the network tens of millions of dollars.
- Investor reaction turned negative after the OpenAI and Epic news, with Disney shares sliding 1.6% Tuesday, falling again Wednesday, and roughly 4% over the week.
- Josh D’Amaro had just outlined a One Disney strategy to make Disney+ a digital centerpiece, and coverage ranged from sharp critiques of the AI plan as low-quality “slop” to analysis that Disney may hunt for new tech partners.