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Seedance 2.0 not releasing and Sora axed, will best AI tools be reserved for businesses in future?

The current AI boom started off with a focus on personal writing. That is the reason why tools like ChatGPT and Gemini are called Large Language Models. But in 2026, due to versatility and power of new AI tools, companies are trying to put the genie back in the bottle by reserving the best for institutional and business customers.

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Sam Altman grabbing money
Representative image created using AI by Divya Bhati

AI this, AI that, AI-AI everywhere. Or at least that is the impression we get when we look at the AI landscape of the last four years. But behind the hype there seems to be a subtle shift happening in the AI world in 2026 — a shift from consumer-focused AI to enterprise-focused tools. It is as if the tech companies like Google and OpenAI are running into that old concept of No Free Lunches. They are realising that AI cannot be distributed for free to everyone, the way it has mostly happened so far. And they are pivoting, something that explains the Sora move from OpenAI.

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The prime example of the shifting priorities is the Sora move from OpenAI. The company has announced the closure of Sora, a tool that lets people create viral 10-second clips, such as the clip of that obtuse cat playing music instruments at midnight. The move is part of a bigger directional change that the company is making. Reports suggest engineers have been told to scale down focus on individual consumers. Instead, businesses and institutions are a bigger focus area now.

“We cannot miss this moment because we are distracted by side quests. We really have to nail productivity in general and particularly productivity on the business front,” Fidji Simo, OpenAI CEO of applications recently said in a team meeting, as reported by the Wall Street Journal.

It’s not that Sora has failed. Far from it. It has been one of most impressive AI tools, a highly capable text-to-video model. But Sora, which requires a crazy amount of compute to generate its videos, is resource intensive. There is chatter that keeping Sora up and running was costing OpenAI almost $15 million a day. At the same time because this is a consumer-focussed tool, it wasn’t bringing in the kind of revenue that could support it.

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Eventually OpenAI decided it would rather spend resources on something else, such as Codex, that can help it with business customers. At the same time, it is not entirely getting rid of Sora technology. Instead, chances are the company would repackage it as an AI tool for business and institutional customers in video and creative industries, selling the access to them directly and privately.

Seedance 2.0 public launch put on hold

A similar story seems to be playing out with Seedance 2.0. The powerful video generator, which went viral for creating movie-style clips, is unlikely to be released in public. While legal pressure from Hollywood studios over copyright and likeness issues is believed to be one of the reasons, there could also be a business angle to it.

Seedance 2.0, since its controlled access was provided to some users, has impressed the world with its almost magical ability to create Hollywood-quality video clips. It has been deemed so good that many have called it a tool that will kill Hollywood and, according to Ram Gopal Varma, Bollywood.

Now, it is no longer releasing in public, sparking speculation that ByteDance — the company that has made this tool — might want to sell the Seedance 2.0 access directly to movie studios and companies involved in creative video making.

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It makes good business sense. Models as advanced as Seedance 2.0 require huge computing resources, and releasing them widely for free doesn’t make sense. It also dilutes their value when they are accessible for cheap or free. So, there is a strong possibility that ByteDance may choose to offer the full capabilities of its most powerful AI model through enterprise sale.

Popularity contest over, money first?

Since ChatGPT entered the public conversation in 2022, AI companies have chased viral moments and thrills for their best AI tools. But this is now changing. Unlike apps where user numbers matter the most, AI platforms do not work the same way. For AI companies, the biggest challenge today is the cost. Companies like OpenAI, Google, Anthropic and others have received billions in investment, but the revenue is lacking.

Viral demos may get attention online, but investors want products that customers will pay for every month, and companies themselves need more money to build better models. This is forcing them to change their approach. Instead of building tools just for fun or social media, companies are now focusing on creating software that organisations can use for coding, research, customer support, document analysis, and automation.

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Consequently, OpenAI is putting more emphasis on ChatGPT Enterprise, API access, and custom AI models for companies. Anthropic has built its reputation by focusing on business users from the start, with Claude designed for coding, office tasks, and controlled environments rather than viral content. Meanwhile, Google and Microsoft are also pushing AI through cloud platforms, productivity software, and developer tools and some of their best AI tools are prohibitively expensive for regular consumers.

There are no official announcements. But the shift is clear. AI requires massive computing power, constant training, and huge infrastructure, and companies need steady revenue to keep building it. To chase that revenue, the big Tech companies are eventually focussed on reserving their most powerful tools for AI products and partnerships that can generate reliable income.

- Ends
Published By:
Divya Bhati
Published On:
Mar 27, 2026 16:15 IST

AI this, AI that, AI-AI everywhere. Or at least that is the impression we get when we look at the AI landscape of the last four years. But behind the hype there seems to be a subtle shift happening in the AI world in 2026 — a shift from consumer-focused AI to enterprise-focused tools. It is as if the tech companies like Google and OpenAI are running into that old concept of No Free Lunches. They are realising that AI cannot be distributed for free to everyone, the way it has mostly happened so far. And they are pivoting, something that explains the Sora move from OpenAI.

The prime example of the shifting priorities is the Sora move from OpenAI. The company has announced the closure of Sora, a tool that lets people create viral 10-second clips, such as the clip of that obtuse cat playing music instruments at midnight. The move is part of a bigger directional change that the company is making. Reports suggest engineers have been told to scale down focus on individual consumers. Instead, businesses and institutions are a bigger focus area now.

“We cannot miss this moment because we are distracted by side quests. We really have to nail productivity in general and particularly productivity on the business front,” Fidji Simo, OpenAI CEO of applications recently said in a team meeting, as reported by the Wall Street Journal.

It’s not that Sora has failed. Far from it. It has been one of most impressive AI tools, a highly capable text-to-video model. But Sora, which requires a crazy amount of compute to generate its videos, is resource intensive. There is chatter that keeping Sora up and running was costing OpenAI almost $15 million a day. At the same time because this is a consumer-focussed tool, it wasn’t bringing in the kind of revenue that could support it.

Eventually OpenAI decided it would rather spend resources on something else, such as Codex, that can help it with business customers. At the same time, it is not entirely getting rid of Sora technology. Instead, chances are the company would repackage it as an AI tool for business and institutional customers in video and creative industries, selling the access to them directly and privately.

Seedance 2.0 public launch put on hold

A similar story seems to be playing out with Seedance 2.0. The powerful video generator, which went viral for creating movie-style clips, is unlikely to be released in public. While legal pressure from Hollywood studios over copyright and likeness issues is believed to be one of the reasons, there could also be a business angle to it.

Seedance 2.0, since its controlled access was provided to some users, has impressed the world with its almost magical ability to create Hollywood-quality video clips. It has been deemed so good that many have called it a tool that will kill Hollywood and, according to Ram Gopal Varma, Bollywood.

Now, it is no longer releasing in public, sparking speculation that ByteDance — the company that has made this tool — might want to sell the Seedance 2.0 access directly to movie studios and companies involved in creative video making.

It makes good business sense. Models as advanced as Seedance 2.0 require huge computing resources, and releasing them widely for free doesn’t make sense. It also dilutes their value when they are accessible for cheap or free. So, there is a strong possibility that ByteDance may choose to offer the full capabilities of its most powerful AI model through enterprise sale.

Popularity contest over, money first?

Since ChatGPT entered the public conversation in 2022, AI companies have chased viral moments and thrills for their best AI tools. But this is now changing. Unlike apps where user numbers matter the most, AI platforms do not work the same way. For AI companies, the biggest challenge today is the cost. Companies like OpenAI, Google, Anthropic and others have received billions in investment, but the revenue is lacking.

Viral demos may get attention online, but investors want products that customers will pay for every month, and companies themselves need more money to build better models. This is forcing them to change their approach. Instead of building tools just for fun or social media, companies are now focusing on creating software that organisations can use for coding, research, customer support, document analysis, and automation.

Consequently, OpenAI is putting more emphasis on ChatGPT Enterprise, API access, and custom AI models for companies. Anthropic has built its reputation by focusing on business users from the start, with Claude designed for coding, office tasks, and controlled environments rather than viral content. Meanwhile, Google and Microsoft are also pushing AI through cloud platforms, productivity software, and developer tools and some of their best AI tools are prohibitively expensive for regular consumers.

There are no official announcements. But the shift is clear. AI requires massive computing power, constant training, and huge infrastructure, and companies need steady revenue to keep building it. To chase that revenue, the big Tech companies are eventually focussed on reserving their most powerful tools for AI products and partnerships that can generate reliable income.

- Ends
Published By:
Divya Bhati
Published On:
Mar 27, 2026 16:15 IST

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