Disney Ends OpenAI Partnership as Sora Video Platform Shuts Down

Disney has pulled out of its high-profile partnership with OpenAI following the company’s decision to discontinue the Sora app, its generative AI video platform.

OpenAI confirmed Tuesday that it is shutting down its Sora app, a tool it launched in late 2024 that allowed users to generate short videos from text prompts. The company did not provide a reason for the shutdown but said more details will be shared soon, including timelines for the app, API, and how users can preserve their work.

The decision has immediate implications for Disney, which had recently positioned itself at the forefront of AI-powered fan content through a deal with OpenAI.

Just three months ago, Disney signed a three-year licensing agreement that would have allowed Sora to generate user-prompted videos using a library of over 200 characters from Disney, Marvel, Pixar, and Star Wars. The initiative was set to roll out in early 2026, with plans for “fan-inspired” videos and even a curated selection of Sora-generated content on Disney+.

“As the nascent AI field advances rapidly, we respect OpenAI’s decision to exit the video generation business and to shift its priorities elsewhere,” a Disney spokesperson said in a statement to Variety. We appreciate the constructive collaboration between our teams and what we learned from it, and we will continue to engage with AI platforms to find new ways to meet fans where they are while responsibly embracing new technologies that respect IP and the rights of creators.”

As part of the partnership, Disney had also planned to take a $1 billion stake in OpenAI.

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