"The app, which was announced to much fanfare late last year, has struggled to retain users, with downloads plummeting. The stream of uninspired AI slop wasn't just and rife with copyright-infringing material- the costs to keep it running were also enormous, even for a company the size of OpenAI."
"Caught up in the multi-billion-dollar misstep is entertainment conglomerate Disney, which signed what was supposed to be a groundbreaking $1 billion deal with OpenAI in December. As a source familiar with the matter told The Hollywood Reporter, the media giant has now pulled out of the licensing agreement."
""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 told the publication."
"The abrupt end to the blockbuster deal certainly raises questions. Did OpenAI's discontinuation of Sora force Disney out of the deal, or did Disney get cold feet first?"
OpenAI has decided to discontinue its text-to-video AI app Sora, which struggled with user retention and faced high operational costs. The app's performance led to a significant drop in downloads and raised concerns among investors ahead of a potential IPO. Disney, which had a $1 billion licensing deal with OpenAI, has pulled out of the agreement, which would have allowed AI-generated videos featuring popular characters. Disney expressed respect for OpenAI's decision and a commitment to exploring AI responsibly.
Read at Futurism
Unable to calculate read time
Collection
[
|
...
]