OpenAI plans to launch a standalone Sora 2 app, sparking controversy over default use of copyrighted content.

According to sources, OpenAI plans to launch a new version of the Sora 2 video generator as a standalone application. In cases where the content copyright holder does not actively opt out, this version may generate videos containing copyrighted material.

Media reports say Sora 2’s interface features a vertical video feed, supports swipe browsing, and is similar to TikTok. According to documents reviewed by the media, users can generate videos up to 10 seconds long with Sora in the app. However, the app does not allow uploading photos or videos from the phone album or other apps.

The app also comes with an identity verification feature, allowing users to verify their portrait information. Upon verification, users can use their own likeness in videos.

Reports indicate that OpenAI launched the app internally last week and received widespread positive feedback from employees.

With support from Microsoft, OpenAI first launched Sora in December last year, formally entering the multi-modal AI technology space and competing with similar text-to-video tools like Meta, Google (Alphabet), and Stability AI’s Stable Video Diffusion. Last week, Meta released a new platform called Vibes, allowing users to create and share AI-generated short videos.

Copyright Holders Must “Opt Out” Themselves

Sources told the media that last week OpenAI began notifying major agencies and film companies about the upcoming product and how to use the “opt-out” process.

The so-called “opt-out” mechanism means that film companies and other intellectual property holders must proactively notify OpenAI to request that their copyrighted content not be included in Sora-generated videos.

However, although copyrighted characters need to be excluded via opt-out to avoid usage, sources told the media that the new version of Sora will not involve the likenesses of public figures without permission when generating images.

OpenAI Chief Strategy Officer Jason Kwon stated:

“It has always been our practice to treat portrait rights and copyright issues separately.”

Sources revealed to the media that the new version of Sora’s video generator will adopt copyright protection measures similar to OpenAI’s image generator launched this April. At that time, the image tool quickly sparked a wave of Studio Ghibli-inspired memes online.

It is also reported that OpenAI has reached agreements with some film studios to prohibit its tools from generating content featuring their copyrighted characters upon request.

Does Not Accept “Blanket” Copyright Exclusion Requests

Media reports say OpenAI and its rivals are fiercely competing for users, continuously rolling out new AI tools aimed at transforming the entertainment and social media sectors. Google is among OpenAI’s most formidable competitors. Recently, Google integrated its Veo 3 video generator with the popular platform YouTube, allowing users to incorporate AI video technology into short video creation.

Sources told the media that OpenAI does not intend to accept “blanket” copyright exclusion requests—meaning that an artist or film studio cannot blacklist all their works at once. Instead, OpenAI sent some agencies a link, allowing them or their clients to report violations if discovered.

OpenAI’s VP of Media Partnerships, Varun Shetty, stated: “If someone does not wish to participate in this ecosystem, we are willing to work with them.” He mentioned that the company has already set up protections in its image generation tool.

Vermillio is an AI licensing and protection platform. Its CEO, Dan Neely, stated: “For many AI industry practitioners, OpenAI’s move confirms long-standing concerns and further illustrates the need for protection mechanisms.”

Whether AI Can “Fair Use” Creative Content Remains Controversial

The launch of the new Sora comes at a key political moment for OpenAI. The company is currently awaiting confirmation from the Attorneys General of California and Delaware that they will not oppose OpenAI’s transition to a traditional profit-driven corporate structure. Previous media reports said OpenAI had informed some investors that if the transition could not be completed by the end of the year, they could withdraw some pledged investments.

For a long time, relations between many AI companies and Hollywood have been tense. Creators have persistently demanded that AI companies obtain consent and compensate them when using their works for model training or generating content based on their creations.

This spring, OpenAI and Google jointly lobbied the Trump administration to classify the use of copyrighted material for AI model training as “fair use.” The move met strong opposition from Hollywood creatives. Over 400 actors, directors, musicians, and others signed an open letter emphasizing that the U.S. should not sacrifice its creative industries to achieve AI leadership.

This summer, Trump said that AI systems do not plagiarize articles but “if you read an article and learn from it, then we should let AI use that knowledge without getting bogged down in complicated negotiations.”

This summer, courts made partial rulings in two cases in favor of Meta Platforms and Anthropic, finding that using copyrighted material to train AI models could qualify as fair use if the content is “transformed into significantly different new content.”

In June, Disney and Comcast’s Universal filed suit against AI company Midjourney, alleging unauthorized use of copyrighted material to train its image generation tool. Midjourney responded in court filings that its practices constitute fair use.

Risk Warning and DisclaimerThe market entails risk; investment requires caution. This article does not constitute personal investment advice and does not take into account the specific investment goals, financial circumstances, or needs of individual users. Readers should consider whether any opinions, views, or conclusions in this article are applicable to their particular situation. Investing based on this information is at your own risk.