OpenAI will shut its short-form video app Sora six months after launching it, CNBC reported on March 24.

OpenAI is winding down non-core businesses including Sora to cut costs and prepare for an IPO, CNBC said.

Sora quickly rose to popularity after its launch in September last year, logging 1 million downloads in 5 days. OpenAI decided to focus on its core businesses instead of bearing heavy cloud costs.

It also plans to discontinue an instant checkout feature and focus on integrating its web browser, ChatGPT and Codex apps.

OpenAI announced a $1 billion partnership with Disney last year and had planned to offer video creation features in Sora using more than 200 characters including Marvel, Pixar and Star Wars. That partnership also fell through due to the decision. Disney said it respects OpenAI's decision and will continue partnerships with AI platforms.

Fidji Simo (피지 시모), OpenAI's CEO for applications, said in a recent internal meeting, "Now we need to focus on AI use cases that deliver high productivity," suggesting plans to compete with Anthropic in the enterprise market. OpenAI appears to have opted for a strategic shift to focus on enterprise AI solutions instead of short-form video.