By releasing Sora as an API for developers and businesses rather than a standalone consumer app, OpenAI reveals its core strategy. The goal is to empower enterprise use cases like ad generation, not to build a new video destination to compete with platforms like YouTube or TikTok.
OpenAI embraces the 'platform paradox' by selling API access to startups that compete directly with its own apps like ChatGPT. The strategy is to foster a broad ecosystem, believing that enabling competitors is necessary to avoid losing the platform race entirely.
OpenAI intentionally releases powerful technologies like Sora in stages, viewing it as the "GPT-3.5 moment for video." This approach avoids "dropping bombshells" and allows society to gradually understand, adapt to, and establish norms for the technology's long-term impact.
The obvious social play for OpenAI is to embed collaborative features within ChatGPT, leveraging its utility. Instead, the company launched Sora, a separate entertainment app. This focus on niche content creation over core product utility is a questionable strategy for building a lasting social network.
Upcoming tools like Sora automate the script-to-video workflow, commoditizing the technical production process. This forces creative agencies to evolve. Their value will no longer be in execution but in their ability to generate a high volume of brilliant, brand-aligned ideas and manage creative strategy.
Higgsfield initially saw high adoption for viral, consumer-facing AI features but pivoted. They realized foundation model players like OpenAI will dominate and subsidize these markets. The defensible startup strategy is to ignore consumer virality and solve specific, monetizable B2B workflow problems instead.
Proficiency with AI video generators is a strategic business advantage, not just a content skill. Like early mastery of YouTube or Instagram, it creates a defensible distribution channel by allowing individuals and startups to own audience attention, which is an unfair advantage in the market.
Beyond user creation tools, the Disney-OpenAI partnership includes plans to feature a curated selection of user-generated Sora videos on the Disney+ streaming service. This is a massive strategic shift, potentially elevating AI-generated content to the same level as high-polish studio productions.
By publicizing its internal AI-powered tools for sales, finance, and support, OpenAI signaled its ambition to enter the enterprise application market, directly challenging SaaS incumbents and causing HubSpot's stock to fall.
According to OpenAI's Head of Applications, their enterprise success is directly fueled by their consumer product's ubiquity. When employees already use and trust ChatGPT personally, it dramatically simplifies enterprise deployment, adoption, and training, creating a powerful consumer-led growth loop that traditional B2B companies lack.
OpenAI launched Sora 2 knowing it would generate copyrighted content to achieve viral growth and app store dominance, planning to implement controls only after securing market position and forcing rights holders to negotiate.