Disney’s big bets on the metaverse and AI slop aren’t going so well | The Verge

Disney’s big bets on the metaverse and AI slop aren’t going so well | The Verge

The Verge - AI 6 min read

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With OpenAI shutting Sora down and Epic laying off more employees, Disney’s investments in the metaverse and AI are looking rocky.

StreamingAIEntertainmentDisney’s big bets on the metaverse and AI slop aren’t going so wellThe studio’s $1 billion plans to collaborate with OpenAI and Epic Games seem to be falling apart.The studio’s $1 billion plans to collaborate with OpenAI and Epic Games seem to be falling apart.by Charles Pulliam-MooreMar 25, 2026, 8:02 PM UTCLinkShareGiftEpic GamesCharles Pulliam-Moore is a reporter focusing on film, TV, and pop culture. Before The Verge, he wrote about comic books, labor, race, and more at io9 and Gizmodo for almost five years.Less than a week into his tenure as Disney’s newly-appointed CEO, Josh D’Amaro is already dealing with two separate crises that have cast a shadow over the company’s future plans. OpenAI is shutting down its Sora image-generation program just months after Disney announced a $1 billion dollar collaboration to bake the tech into Disney Plus. And Fortnite maker Epic is laying off 1,000 employees at a time when we’ve heard basically nothing about the game studio’s $1.5 billion investment deal with Disney to build a metaverse.Disney could still integrate generative AI into its streaming service, and we might end up seeing some version of the company’s metaversal dreams become reality. But yesterday’s news from OpenAI and Epic point to an uncertain future for some of Disney’s biggest bets.There have always been signs that Sora was far from being ready for the big leagues (read: used to produce studio-approved entertainment). But OpenAI’s decision...

Originally published on March 25, 2026. Curated by AI News.

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