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INSIGHTS3 MIN READ

AI Video Just Hit a Reality Check (Here’s What It Means)

Kyle

Published on March 25, 2026

Published on Wealthy Affiliate — a platform for building real online businesses with modern training and AI.

AI Video Just Hit a Reality Check (Here’s What It Means)

There is some pretty big news in the generative video space. Today, OpenAI shutting down Sora as a social video app is a signal. This doesn't just mean their recently launch social app, but they are getting out of the AI video space completely.

X announcement of sora shutting down

The hype was real. The demand was real. But so were the problems.

Deepfakes. Misuse. Lack of control.

That combination is proved to be very tough to manage at scale.

Here is my initial takeaway from this...

We have been getting LOTS of requests for video here at WA lately. Sure, we can integrate the latest models into existing tools or create a brand new "video only" platform for creating videos, but we have felt that video is not ready in a reliable, everyday business sense.

From our experience it is very expensive and inconsistent. And now it is clear that the guardrails (or lack thereof) are catching up with it, and catching up to the the AI platforms offering these services (OpenAI, Google, Grok, etc).

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That is exactly why we have focused on tools you can actually use right now:

  • Content
  • Images
  • Research
  • Branding

These are all big components of your business, these AI tools work well and they produce a predictable and reliable output. Video will eventually get there, but it is not there yet.

A Quick Look at the Risk Side (Deepfake Growth)

This is where things have accelerated fast, and it explains a lot of the pullback. Here is a quick look of the "deepfake" incident trends, and you can see they are ramping up.

DeepFake issues with video

The public of deepfakes is becoming a significant problem for AI companies, and there is likely going to be legal outfall for those creating and distributing these, and a lot of that weight falls directly on companies like OpenAI.

There will be more regulation around this to come, and I think by stepping out of this race, OpenAI have decided to focus on other aspects of the AI space where they can continue improving, evolving and leading. Not to mention that is incredibly expensive for them to create video.

And so the AI world evolves...


Now for a bit of feedback from you.

  • Are you using AI video right now? If so, in what capacity.
  • What are your thoughts on OpenAI stepping outside of the generative AI video space.

We will continue staying on top of this space, and building for what actually works (and benefits the community here), not what is trendy.

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