Overview
- OpenAI confirmed it is ending its Sora video app and said it will share timelines for the app and API along with steps for users to secure their projects.
- Reporting from multiple outlets says Sora racked up roughly $1 million per day in operating costs, with video generation consuming far more GPUs, power, and cooling than text or code models.
- The company is redeploying compute and staff, shifting chips to a new model called Spud and moving the Sora team into longer‑term robotics research.
- A planned tie‑up with Disney has effectively halted, and a Disney spokesperson said the company respects OpenAI’s decision to exit video generation.
- The pullback from consumer video fits a broader shift toward enterprise and coding tools ahead of a potential IPO targeted for late 2026, according to CNBC and other reports.