OpenAI has officially ended its ambitious project, Sora, a standalone text-to-video application. This decision raises questions about the challenges faced in the consumer video market.
The Compute Conundrum
Experts have highlighted that Sora's heavy GPU demands resulted in a poor revenue-to-resource ratio. Downloads dropped significantly from a peak of 3.3 million in November 2025 to just 1.1 million by February 2026. The app's total revenue of $2.1 million further complicated the justification for its continuation.
Safety Snags
Beyond financial concerns, Sora encountered legal and ethical issues. Controversial deepfakes led to public backlash, while unauthorized use of characters like Pikachu and Mario raised trademark flags. The situation worsened with the collapse of a $1 billion investment and licensing agreement with Disney.
The Snowball Effect
The shutdown of Sora reflects a broader strategic shift in the generative AI video landscape. The focus is now shifting towards professional tools for studios, moving away from consumer-oriented novelty. Startups are prioritizing workflow intelligence and cinematic control over reliance on singular foundational models.
Companies in the AI video sector are increasingly directing resources towards enterprise AI initiatives that promise better revenue potential.
RightChoice.ai's Ambitious Approach
In a different sector, RightChoice.ai is addressing the challenges faced by multi-outlet brands in maintaining consistent online visibility. The platform automates updates across over 20 platforms through a unified dashboard.
Unified Directory Management
- Founded in 2023, RightChoice.ai allows businesses to update listings, menus, and photos simultaneously.
AI-Driven Optimisation
- It generates SEO-optimised descriptions and manages reviews in the brand's voice.
- AI insights help improve local search rankings by analyzing competitor listings.
The Data Visibility
Based in Delhi NCR, the platform provides real-time metrics on impressions, calls, and engagement. It also identifies underperforming locations and alerts brands to negative review trends. Notable clients include Subway, OYO, Costa Coffee, and KFC.
Future Prospects
As hyperlocal search becomes essential for offline retail, RightChoice.ai aims to establish itself as a leading reputation management tool for quick-service restaurants and salons.
The smart home market in India is projected to exceed $6.2 billion by 2034, with various brands contributing to this growth.