Adobe (ADBE) Faces AI Competition as OpenAI Releases Sora

Dec 11, 2024

Adobe (ADBE, Financial) is facing concerns over its pace in launching AI video products compared to OpenAI's Sora. Adobe introduced a browser-based tool for AI-generated videos, but it's still in limited testing, available only to select creators. In contrast, OpenAI's Sora is now widely accessible. Adobe aims to gather feedback and ensure the model's safety before broader release.

The company announced the tool as part of its Firefly AI features and plans to expand availability soon. The AI video tool is integrated into Adobe's Premiere app. Despite a positive customer response, Adobe's stock has fallen 8.3% this year amid AI disruption fears. Analysts highlight potential market share risks from AI-driven content engines.

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