AI & Creative Tools

OpenAI Is Shutting Down Sora — And Taking a $1 Billion Disney Deal Down With It

The Sora web and iOS apps go dark April 26, the API follows September 24, and the collapse traces back to a user base that peaked near a million and then fell below 500,000 while burning roughly $1 million a day.

Sora’s standalone web and app experiences will be discontinued on April 26, 2026; the Sora API follows on September 24, 2026, after which all account data — including generated videos — is permanently deleted. For a product that launched to some of the loudest hype cycle in generative AI’s short history, it’s an unusually quiet ending, and the numbers behind it explain why OpenAI stopped fighting for it.

The collapse, in numbers

Sora’s user count peaked at roughly a million shortly after launch, then fell below 500,000 as novelty wore off and the broader field of video generators — Kling, Veo, Runway, Seedance — caught up or pulled ahead on quality and control. Meanwhile the app was reportedly burning around $1 million a day in inference cost, a rate that video generation’s compute intensity makes brutal to sustain against a shrinking, largely non-paying user base. OpenAI’s public reasoning framed the decision as strategic: video generation didn’t align with the company’s core revenue engines in enterprise AI, reasoning models, and coding tools, and the infrastructure spend wasn’t earning its keep next to those priorities.

Disney found out with the rest of us

The clearest illustration of how abruptly this landed: Disney had committed $1 billion to a partnership built around Sora, and reportedly learned the deal was dead less than an hour before OpenAI’s public shutdown announcement. That’s not a wind-down with a negotiated off-ramp — it’s a product getting cut fast enough that an eight-figure, headline partner had no real notice. For anyone building a creative pipeline or a commercial deal on top of a single AI vendor’s flagship product, it’s a pointed reminder of how little downstream warning even the biggest partners can get.

What it means for the rest of the video-generation field

Sora’s exit doesn’t shrink the AI video category so much as consolidate it — the users and the attention it briefly commanded flow to Kling, Veo, Runway, and the open-weight options like the LTX models this site has covered separately. It’s also a data point worth remembering the next time a splashy launch redefines a category overnight: the technology stuck around, but the specific product that made headlines didn’t survive contact with its own hosting bill. If you have anything stored in Sora, the practical takeaway is immediate — export it before April 26.