Disney and OpenAI have signed a landmark license agreement that will bring AI-generated videos featuring Disney characters to Disney+ subscribers. Sora and ChatGPT Images are expected to start generating fan-inspired videos with Disney’s multi-brand licensed characters in early 2026.
Curated Sora content on Disney+: Fans will be able to watch curated selections of Sora-generated videos
New subscriber experiences:OpenAI and Disney will collaborate to power new experiences for Disney+ subscribers
Licensed characters: Access to Disney’s multi-brand character portfolio
The Revenue Opportunity
The Disney partnership demonstrates enterprise interest in Sora—OpenAI’s video generation capabilities. The reported $1 billion partnership is part of OpenAI’s Sora/Media engine, projected to contribute $15-30B by 2030.
The Challenges
Video generation remains extraordinarily expensive:
GPU requirements for rendering high-quality video dwarf those for text generation
Margins are likely negative 50% or worse initially
Competition from Runway, Pika, Google Veo, and Meta Movie Gen is intense
Strategic Significance
The Disney deal validates Sora’s commercial potential but doesn’t resolve the fundamental question: can OpenAI build a sustainable business model around video generation when the unit economics are deeply negative?
Gennaro is the creator of FourWeekMBA, which reached about four million business people, comprising C-level executives, investors, analysts, product managers, and aspiring digital entrepreneurs in 2022 alone | He is also Director of Sales for a high-tech scaleup in the AI Industry | In 2012, Gennaro earned an International MBA with emphasis on Corporate Finance and Business Strategy.
