OpenAI discusses turning abandoned Sora investment into startup stake

OpenAI shut down Sora in March 2026. Now it may be trying to get something back for it. The company is in talks with an unnamed AI video startup that would receive deep access to the defunct text-to-video model, according to reporting by The Information. In return, OpenAI would take an undisclosed equity stake in the company. The startup’s founding lineup is notable. It was established by Hollywood executive Jeffrey Katzenberg, former Sora research lead Bill Peebles, and ex-Dropbox CFO Sujay Jaswa. What the deal would look like The discussions first surfaced on October 12, 2026. No timeline has been confirmed, and the terms remain undisclosed because talks are still ongoing. The basic structure is a swap. The startup gets in-depth access to Sora’s technology. OpenAI gets a slice of ownership instead of letting the model gather dust. The startup’s focus is also narrower than Sora’s original pitch. It aims to build specialized tools for professional filmmakers, not consumer-facing apps. Sora’s model may be significantly customized to fit the startup’s specific needs, meaning whatever emerges could look quite different from the product the public briefly knew. The arrangement also fit...