Elon Musk Reacts To Sora Shutdown, Says Video AI Is Key To AGI Future

Elon Musk visiting the U.S. Air Force Academy in Colorado, 2002. Trevor Cokley—U.S. Air Force/U.S. Department of Defense

The AI race just took another sharp turn. After reports suggested that OpenAI has pulled back its video-generation tool Sora, Elon Musk has stepped in with a clear counter-view—and he’s not backing down from video AI anytime soon.

In fact, he’s doubling down on it.


Musk’s Big Claim: “Video Is The Future Of AI”

Responding to the news around Sora’s shutdown, Musk argued that video generation isn’t just another feature—it’s central to the future of artificial intelligence.

According to him, visual data carries far more information than text. In simple terms, if AI is meant to truly understand the world like humans do, it needs to process and generate video, not just words.

That’s why his company, xAI, continues to invest heavily in its own tool, Grok Imagine.

Musk even claimed that, unlike Sora, his system is already operating with a positive margin.


Why OpenAI Stepped Back From Sora

The decision around Sora appears to be driven by practical challenges.

Reports indicate that the tool was expensive to run—losing close to $1 million per day—and struggled to maintain user interest after an initial surge. From around a million users at launch, the numbers reportedly dropped to under 500,000 within months.

At the same time, OpenAI is shifting focus. The company is now working toward a broader “super app” vision—combining tools like ChatGPT, coding systems, and browser-based AI into one platform that can autonomously handle tasks.

In that strategy, video generation seems to have taken a backseat.


Different Paths In The AI Race

What’s interesting is how sharply the strategies now differ.

While OpenAI is prioritising utility—coding, automation, productivity—Musk is betting on perception and understanding, where video plays a central role.

He believes that reaching Artificial General Intelligence will require machines to process the world more like humans do—and that means dealing with high-bandwidth inputs like visuals.

It’s a long-term bet, but one he’s clearly committed to.


Controversy Around Grok Imagine

That said, Musk’s approach hasn’t been without problems.

Grok Imagine has already faced backlash after users generated inappropriate deepfake content, leading to temporary bans in countries like Indonesia and Malaysia. While xAI introduced restrictions afterward, concerns around misuse haven’t fully disappeared.

So while the technology is advancing, the ethical challenges are catching up just as quickly.


The Bigger Picture: Where AI Is Headed

This moment highlights a deeper split in the AI industry.

One side is focusing on tools that can immediately improve productivity and workflows. The other is chasing a bigger goal—machines that can truly “see” and understand the world.

Musk is firmly in the second camp.

Whether that vision proves right or too early remains to be seen. But one thing is clear—video AI isn’t going away quietly, no matter what happens to Sora.

Anubhav Chauhan

Anubhav Chauhan is a passionate technology writer at NewzTechy.com, where he focuses on delivering the latest updates and insights from the fast-moving world of tech. With a keen interest in emerging technologies, gadgets, and digital trends, he enjoys breaking down complex topics into simple, easy-to-understand content for everyday readers. Anubhav believes that technology should be accessible to everyone, and through his writing, he aims to keep readers informed, aware, and ahead of the curve. Whether it’s new innovations, software updates, or industry developments, he is always eager to explore and share valuable information with his audience.