OpenAI to discontinue its video generation model Sora, shutting down the app in April and ending API support in September. The high-cost product faced steep user decline after launch, with daily active users halving to around 500,000 and operational losses near $1 million daily. Copyright issues and poor user-generated content also harmed its brand. Amid competition and computing constraints, OpenAI will reallocate resources to coding tools, enterprise services, and agent-based AI, shifting the original team to robotics research. This move signals a strategic pivot from flashy demos to commercially viable AI.
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