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OpenAI’s Sora was the creepiest app on your phone — now it’s shutting down

OpenAI announced on Tuesday that it is shutting down Sora, a TikTok-like social app that launched six months ago. OpenAI did not give a reason for the shut down, nor did it share information about when it will officially be discontinued.

When Sora first opened up as an invite-only social network, it seemed like everyone was clamoring for an invite. But like Meta’s Horizon Worlds — the company’s virtual reality social platform — which is also in turmoil despite once being central to the company’s infamous metaverse, Sora didn’t have real staying power. Though the underlying Sora 2 video- and audio-generation model is scarily impressive, there was not sustained interest in an AI-only social feed.

Sora was intended to function like an AI-first TikTok, cloning the recognizable vertical video feed interface. Its flagship feature, “cameos,” allowed people to scan their faces and make realistic deepfakes of themselves. These “cameos” could be made public, allowing anyone to make videos of their “cameo.” (Cameo took OpenAI to court over the name of this feature and prevailed, forcing the company to change it to “characters.”)

In a turn of events that surprised literally no one, this glorified deepfake app was weird as hell.

At launch, Sora felt like an under-moderated minefield of creepy Sam Altman videos. I will never be the same after watching a realistic clone of the OpenAI CEO walking through a slaughterhouse of fattened pigs and asking, “Are my piggies enjoying their slop?”

Sora was not supposed to allow people to generate videos of public figures who did not explicitly opt-in, but it was all too easy to evade OpenAI’s guardrails. Sure enough, deepfakes of real people like civil rights leader Martin Luther King, Jr. and actor Robin Williams emerged, prompting both of their daughters to go on Instagram and ask users to stop making videos of their deceased fathers.

After making dozens of videos in which Sam Altman steals Nvidia chips from a Target, users shifted gears. Instead, they intentionally made content using copyrighted characters, inviting legal trouble for the man they loved to deepfake — we saw Mario smoking weed, Naruto ordering Krabby Patties, and Pikachu doing ASMR.

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This didn’t unfold as planned. Rather than sue, Disney, a notoriously litigious company, gave OpenAI a $1 billion investment and a licensing deal that would have allowed Sora to generate videos featuring characters from Disney, Marvel, Pixar and Star Wars.

It looked like a landmark moment for the AI industry. But with Sora gone, so is the deal — though notably, it appears no money actually changed hands before it collapsed. (Disney offered some polite words about the whole thing on Tuesday, telling the Hollywood Reporter it would “continue to engage with AI platforms” going forward.)

The initial hype around Sora was real. The app peaked in November with about 3,332,200 downloads across the iOS App Store and Google Play, according to data from the mobile intelligence firm Appfigures. If the app continued to grow, then perhaps OpenAI would’ve kept it going, but that’s not what happened. By February, it declined to 1,128,700 downloads. That seems like a big number, until you remember that ChatGPT has 900 million weekly active users.

In its lifetime, Appfigures estimates that Sora made about $2.1 million from in-app purchases, which allowed users to buy more video generation credits. It’s hard to imagine that the Sora app’s computing demands tipped the scales that much for a company that’s already operating at a huge loss, but the app was perhaps too much of a liability to keep around if it wasn’t even growing.

When OpenAI launched the Sora app, I prepared for a world in which we could have the tools to make deepfakes of each other at our fingertips. While I rarely make TikToks, I felt obligated to post a PSA that this scary tech was coming fast. It ended up getting over 300,000 views, which is not the norm for my often dormant TikTok account, but this news got a real reaction out of people. I never expected that it would only last six months.

But just because Sora is gone doesn’t mean the threat went with it. The Sora 2 model is still available — it’s just tucked behind the ChatGPT paywall. And OpenAI is hardly alone in making this technology so accessible. It’s only a matter of time before the next social AI video app hits the market, and we’re inundated with another tsunami of clips in which Snow White storms the Capitol.


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Doss raises $55M for AI inventory management that plugs into ERP

Enterprise resource planning (ERP) systems are often described as a company’s “central brain” because the software connects different departments — including finance, HR, and inventory — into a single database where everyone shares the same information.

In recent years, a new crop of AI-powered ERP startups, such as Rillet and Campfire, has emerged hoping to replace legacy offerings like NetSuite. These companies claim that traditional ERPs are clunky, expensive, and time-consuming to implement.

However, according to Doss co-founder and CEO Wiley Jones, many new AI ERPs lack robust inventory management, the process of ensuring that the data on physical goods remains synced with the accounting ledger.

Doss claims to solve this by providing an AI-native inventory management layer that integrates with existing accounting systems, whether traditional ERPs or ones built by AI-based startups.

On Tuesday, Doss announced that it raised a $55 million Series B co-led by Madrona and Premji Invest, with participation from Intuit Ventures. Other new and existing inventors in the round include Theory Ventures, General Catalyst, Contrary Capital, and Greyhound Capital.

Doss, founded in 2022, originally focused on a core accounting product similar to those offered by AI-native startups like Rillet and Campfire. But last year, the startup decided instead of competing with these companies, “we would rather partner with them, and play a different game,” Jones told TechCrunch.

Jones explained that AI-native ERP companies manage accounts receivable, accounts payable, and other finance functions, but most don’t offer procurement and inventory management that integrates with accounting workflows.

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“We’re building a lot of the traceability for the supply chain, but through the lens of plugging into a finance and accounting partner,” Jones said.

The company’s main partners include Rillet and Campfire. Many clients also use Doss in conjuction with Intuit’s QuickBooks.

“The reason that they work with us is that [physical goods management] is not something that they’re likely going to build as a core competency without putting in a lot of energy and effort,” Jones said.

Doss’ core customer base consists of mid-market consumer brands, typically generating between $20 million and $250 million in top-line revenue. One such customer is Verve Coffee Roasters, a high-end specialty coffee brand.

The startup sees itself as competing with traditional ERPs. But these players are not sitting ideal in the age of AI, either. NetSuite, for instance, has recently introduced its updated AI ERP. It also competes with other agentic procurement startups such as Didero.

While Jones admits that selling two ERP systems, one for accounting and another for inventory management like Doss, “is a hard sell,” he says that legacy ERPs are so hard to implement that many customers are choosing to have two newer, AI-powered systems.

“I think it’s going to be a very intense fight inside of mid-market that ultimately will be determined by whoever rebuilds their architecture to be most legible and usable for agents,” Jones said.

Editor’s Note: The story corrected the list of Doss’ partners.

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Crunchyroll confirms data breach after hacker claims unauthorized access

Anime streaming service Crunchyroll has confirmed a data breach involving customer service ticket information following an incident with a third-party vendor, after a hacker claimed to have accessed user data and internal systems.

The streaming site, which Sony acquired from AT&T in 2020 for $1.18 billion, operates as a joint venture between U.S.-based Sony Pictures Entertainment and Japan-based Aniplex. Crunchyroll has more than 2,000 titles in over 12 languages and serves 15 million subscribers worldwide, per its website.

Reports of a threat actor claiming access to Crunchyroll user data surfaced online this week, with a hacker alleging that they obtained data about millions of users.

Crunchyroll said it is investigating the claims.

“Our investigation is ongoing, and we continue to work with leading cybersecurity experts,” the company said in a statement to TechCrunch, adding that it has not identified evidence of ongoing unauthorized access.

Separately, materials shared with TechCrunch by a cybersecurity-focused account, International Cyber Digest, indicate the attacker may have gained access to Crunchyroll’s Zendesk support system. Screenshots we have seen appear to show the company’s internal Slack messages and stolen support data, apparently stolen by hacking an employee at Telus Digital, an outsourcing giant that handles customer support for Crunchyroll. The hacker allegedly stole customer support ticket data until early 2025, at which point their access was revoked.

The cybersecurity account said the hack was separate from a recent breach affecting Telus Digital, which the company confirmed last week.

Crunchyroll did not respond to a follow-up question about whether the third-party vendor relates to its support partner, Telus Digital.

Telus Digital did not respond to requests for comments.

The hacker told BleepingComputer they had downloaded about eight million support ticket records from Crunchyroll’s systems, including roughly 6.8 million unique email addresses, though the claims have not been independently verified. The hacker also told the publication they gained access on March 12 after compromising an Okta single sign-on account belonging to a Crunchyroll support agent.

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BKR Capital raises $14.5M (so far) to invest in Black founders

Canada’s BKR Capital announced Monday that its Fund II has closed CA$20 million (around $14.5 million), bringing it closer to its CA$50 million target.

This fund is looking to back “high-growth technology companies led by founders from the Black community, building solutions for the future of work, living, and global connectivity,” managing partner Lise Birikundavyi told TechCrunch. The firm is mainly looking at Canada but is open to backing select companies globally. The average check size will be between $250,000 and $1.5 million, she said.

Birikundavyi said that almost 70% of the Black population in Canada is first- or second-generation immigrants, “resulting in founders who build globally from day one, unlocking early access to international markets and creating a structural advantage in scaling.”

Though many U.S. firms have shied away from openly advertising a mission that could be perceived as diversity, equity, and inclusion (DEI), Birikundavyi said her Toronto-based fund doesn’t share those exact fears. What’s happening in Canada is less of a DEI rollback and more of a reframing, she said, where investors are “prioritizing discussion on performance,” even though “the underlying opportunity remains unchanged.”

She added, “Expanding access to overlooked founders continues to surface high-quality deals, making this less about DEI and more about arbitrage investing.” She believes investors in Canada still see “inclusive investment” as good for the ecosystem and full of potentially lucrative business opportunities.

The firm’s thesis is rooted in the belief that “overlooked markets and diverse lived experiences can unlock outsized venture opportunities,” Birikundavyi said. The firm launched in 2021 and raised $22 million for its Fund I (which Birikundavyi said is performing better than at least 75% of the other funds launched around the same time). She said BKR Capital hopes to make its final close for Fund II in December and invest in 25 companies.

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