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AI video market has bounced back from Sora's false start

AI video production has rebounded from the disappointment of OpenAI's Sora, with companies like Promise setting up near Hollywood studios and Netflix using AI in 300 of its 1,000 titles. Higgsfield, an AI video startup, now carries a $5.4 billion valuation, signaling the industry's growth into a mature market with its own valuations and job roles.

read1 min views5 publishedAug 17, 2026

AI production companies like Promise are setting up shop around Hollywood's historic studios, using real-time backgrounds and other AI tools to cut film costs. Netflix already uses AI in 300 of its 1,000 titles, and the startup Higgsfield now carries a $5.4 billion valuation. What was once a tech demo has grown into its own industry, complete with valuations, job titles, and fights over who gets a cut.

The article AI video market has bounced back from Sora's false start appeared first on The Decoder.

source & further reading
the-decoder.com — original article AirTag reveals how Amazon destroys rare books for AI training OpenAI signs record Ohio data center lease with Nvidia backing up to $105 billion Anthropic watermarks Claude's output, but critics question the tradeoffs
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