OpenAI has reversed its copyright policy for Sora, its AI-driven video generation app, following significant backlash from content creators, talent agencies, and major studios. Originally launched with an opt-out system that allowed widely copied copyrighted characters unless rightsholders explicitly declined, OpenAI now implements a stricter opt-in policy where copyright owners must actively grant permission for their characters to appear in generated videos.
This decisive policy shift was publicly announced by OpenAI CEO Sam Altman in early October 2025, acknowledging concerns over intellectual property rights and signaling a more measured, rights-respecting framework going forward (Wall Street Journal, Futurism, TechCrunch).
What Led to the Policy Reversal?
Sora launched with great fanfare, offering TikTok-style AI video generation where users could create 10-second clips featuring AI-generated avatars, “cameos,” and popular characters. The app soared to the top of the Apple App Store within days, driven by viral videos depicting copyrighted characters like Pikachu, SpongeBob SquarePants, and South Park figures in wild, often unauthorized scenarios.
However, this rapid popularity quickly sparked concerns from Hollywood studios and IP holders, who faced widespread unauthorized use of their intellectual property (The Verge, Silicon Republic). Notably, Disney opted out of Sora’s default inclusion, barring the use of its characters, but many others did not act fast enough.
The Motion Picture Association (MPA) issued a stern statement demanding OpenAI cease copyright infringements on the platform and implement better content governance (CNBC). Legal pressures joined growing public concern over the app’s rapid content proliferation and ethico-legal implications.
What Does the New Opt-In Policy Mean?
Under the revised policy:
- Copyright holders must explicitly opt in for their characters or intellectual property to be available for AI-generated video creation on Sora.
- OpenAI introduces granular controls allowing rights owners to specify usage limits or block certain types of content.
- Users are restricted from generating content featuring copyrighted characters unless prior approval exists.
- Transparency is enhanced: all generated content will clearly disclose usage rights and restrictions to users.
Altman emphasized that the new framework aligns with how public figures’ likenesses are managed, adding additional safeguards reflecting the complex balance between innovation and intellectual property rights.
Impact on Users and the AI Community
For many power users and early adopters, Sora’s stricter restrictions feel limiting, with some calling the app “boring” or “censored.” Others argue that certain copyright uses should qualify as fair use or creative fan fiction. Yet the general consensus acknowledges the legal necessity of protecting creators to sustain the creative ecosystem.
OpenAI faces the challenging task of enforcing these policies while maintaining Sora’s appeal as a creative platform. The company plans to iterate its content filtering and moderation stack to minimize false positives and enable flexible creativity within rights frameworks.
What’s Next for Sora & OpenAI?
OpenAI has committed to:
- Ongoing dialogue and partnership with rightsholders to refine controls and permissions.
- Developing more sophisticated content filters and watermarking to trace content provenance.
- Expanding Sora’s ethical guardrails while promoting safe, legal, and innovative use.
- Exploring possible licensing frameworks for broader, authorized content use in future versions.
While uncertainties remain, the move toward an opt-in regime demonstrates OpenAI’s responsiveness to stakeholder concerns and its commitment to responsible AI deployment.
Broader Context: AI & Copyright Challenges
Sora is the latest example of evolving policy debates in generative AI across image, video, and text domains. Major legal battles with companies like Midjourney and Anthropic highlight the tension between AI innovation and copyright law. OpenAI’s reversal sets a precedent likely to influence other developers and regulators shaping the future of AI creativity.