![]() We continue to offer a free 2-week trial of WrapPRO. If you’ve been wanting to check out our full coverage, now’s the time.Greetings!OpenAI ruffled feathers last week when it released Sora 2, an improved version of its AI-powered text-to-video generator. That's because the engine, which was paired with a TikTok-like social platform that let anyone create their own short videos, quickly generated characters, designs and other recognizable elements from key studio properties from Star Wars to Pokémon. What made things worse was OpenAI's initial position on this content, deciding to go with an "opt-out" framework that put the onus on the studios and other IP owners to individually flag content that violates their copyrights. Within days, OpenAI backtracked, with CEO Sam Altman saying the company would add more guardrails and give IP owners more granular control over how their properties could be used. “A theme for AI companies has been that it’s better to beg for forgiveness than ask for permission,” Steven Stein, a partner in Greenberg Glusker’s entertainment and IP litigation groups, told me in today's lead story. “When racing to get a product out to grab market share, you’re not going to do all the legal due diligence you normally would do.” It's the latest indication of the tenuous relationship between Hollywood and AI companies, which at times is symbiotic (these companies still want to use AI tools) and other times exploitative. The studios are taking this seriously, but how far will they go to protect their IP? While there's the legal route, with studios like Disney, Universal and Warner Bros. Discovery suing the likes of Midjourney, there isn't a sense that they'd pursue the much larger OpenAI. Chances are, these studios will continue to find a way to work with these AI companies to ensure their IP isn't exploited in the wrong way, and maybe generate additional revenue along the way. Roger Cheng ![]() When Sora originally came out in December 2024, there was thought that the engine could be used in video production... ![]() To continue reading, subscribe now with a 2-week free trial.Free for 14 Days – Then Just $4/Week ![]() Free for 14 days, then $4/week (billed annual at $199). Renews yearly. Cancel anytime to avoid future charges. |