OpenAI's highly anticipated AI video generation app, Sora, is experiencing a significant downturn in user engagement and revenue, just months after its impressive launch. Following a rapid ascent to the top of app store charts, new data reveals a sharp decline in both app downloads and consumer spending, suggesting the initial buzz around the AI-powered social network is fading.

From Stellar Launch to Struggling Performance

Launched in October 2025, Sora quickly became a sensation. Powered by OpenAI's Sora 2 video generation model, the iOS version garnered over 100,000 installs on its debut day, despite being an invite-only platform. It swiftly claimed the coveted No. 1 spot on the U.S. App Store and even surpassed ChatGPT in reaching the 1 million download milestone. This early success was particularly notable given its iOS-only availability and exclusive invitation model.

However, the momentum proved short-lived. According to data from market intelligence provider Appfigures, Sora's downloads plummeted by 32% month-over-month in December. This dip is particularly unusual as the holiday season typically boosts mobile app installations due to new device activations and increased leisure time.

The decline intensified in January 2026, with installs falling a further 45% month-over-month, settling at 1.2 million. Consumer spending within the app also mirrored this downward trajectory, dropping 32% month-over-month by January, Appfigures said. OpenAI has not yet responded to requests for comment regarding these figures.

Competitive Landscape and Copyright Hurdles

Sora, designed as an AI-flavored TikTok, allows users to generate AI videos from text prompts, offering unique features like casting oneself or friends as characters and remixing shared content with music, sound effects, and dialogue. Despite these innovative capabilities, the app faces stiff competition.

Google's Gemini, particularly its Nano Banana model, has emerged as a formidable rival, significantly boosting the popularity of the Gemini AI app. Similarly, Meta AI saw a surge in its October downloads following the launch of its AI-powered Vibes video feature, coinciding with Sora's initial rise.

Beyond competition, OpenAI has grappled with significant copyright infringement concerns. Initially, the company adopted an opt-out policy for intellectual property (IP) usage in Sora, leading to considerable backlash from Hollywood studios. Users were freely creating AI videos featuring popular characters like SpongeBob and Pikachu, which initially drove adoption. To mitigate legal threats and appease content creators, Sora transitioned to an opt-in model with increased restrictions.

While OpenAI recently announced a deal with Disney, allowing users to generate videos with Disney characters, this partnership has yet to translate into increased installs or consumer spending for Sora. This move also raised eyebrows given previous instances of users creating questionable content with Disney IP.

Current Standing and Future Outlook

To date, Sora has accumulated 9.6 million downloads across iOS and Android, with $1.4 million in total consumer spending. The U.S. market accounts for the majority of this revenue ($1.1 million), followed by Japan, Canada, South Korea, and Thailand. Monthly spending peaked at $540,000 in December but fell to $367,000 in January.

On the U.S. App Store, Sora has slipped out of the Top 100 Overall free apps, now ranking at No. 101. Its highest current position is No. 7 within the Photo & Video category. Its performance on Google Play in the U.S. is even weaker, standing at No. 181 among top free apps.

While these figures are not indicative of a "dead" app, they signal a worrying trend. The combined impact of fierce competition, stringent copyright controls limiting creative freedom, and a potential waning of initial hype appears to be taking its toll. Whether Sora can regain traction through new features or additional content deals remains an open question for the burgeoning AI video app market.