AI Video Market Bounces Back from Sora's False Start, Valuation Hits $5.4B
The Decoder · rss · 2026-08-17
The article notes that despite Sora's initial hype and subsequent slow rollout, the AI video market has bounced back and evolved from a tech demo into a bona fide industry. AI production companies like Promise are setting up shop around Hollywood's historic studios, using tools like real-time backgrounds to cut film costs. Netflix is already using AI in 300 of its 1,000 titles. Startup Higgsfield now carries a $5.4 billion valuation. The sector now boasts a complete ecosystem with valuations, job titles, and disputes over revenue shares.
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