Disney cancels $1B OpenAI partnership amid Sora shutdown plans
4 hours ago
- #Disney
- #AI Partnerships
- #OpenAI
- OpenAI has announced plans to shut down its Sora video-generating app, leading to the cancellation of a $1 billion licensing partnership with Disney.
- Disney expressed respect for OpenAI's decision to shift priorities and acknowledged the constructive collaboration, stating they will continue exploring AI responsibly.
- The Disney-OpenAI deal, announced in December, would have allowed the use of over 200 Disney characters in Sora-generated videos and included a $1 billion equity investment by Disney.
- The deal was never finalized, with reports indicating no money was exchanged and that OpenAI's strategic shift caused the partnership to collapse.
- OpenAI's sudden shutdown of Sora reportedly blindsided Disney, with some describing it as a 'big rug-pull,' despite recent updates to Sora's safety standards.