Business
OpenAI's controversial Sora is finally launching today. Will it truly disrupt Hollywood?
OpenAI’s controversial text-to-video artificial intelligence tool Sora sent shock waves through the entertainment industry when the company unveiled it earlier this year.
The technology promised to revolutionize filmmaking by automatically creating short movies based on written commands. For example, users could type in descriptions, such as “a stylish woman walks down a Tokyo street,” and Sora would provide up to 60-second videos based on that information. Workers feared that it was a prelude to a future in which AI displaced jobs throughout Hollywood.
But until now, Sora has been available only to people participating in research, testing and previews for artists.
On Monday, Sora faces its next big test as OpenAI, best known for the ChatGPT text bot, makes it available to the broader public. In the U.S., consumers can use Sora with a ChatGPT Plus subscription, which costs $20 a month. It can generate up to 50 videos of up to 20 seconds long. Customers can get more Sora usage, higher resolution and longer videos with a ChatGPT Pro subscription.
OpenAI executives say Sora will lead to new possibilities for artists and creatives.
“We really believe that Sora can open doors for people to explore and share their creativity visually, especially without extensive resources or training,” said Souki Mansoor, Sora artist program lead for OpenAI, in an interview. “As we know, filmmaking is very expensive.”
The tool will be accessible for people 18 or older where ChatGPT is available, except for in the United Kingdom, Switzerland and countries in the European Economic Area. OpenAI said it is working on enabling Sora in those locations. The company is also preparing a free version of Sora.
AI is a major source of tension in the entertainment industry. It was a key issue in last year’s strikes by actors and writers, who sought protections from the rising tech as part of their contract negotiations.
Many have also raised concerns about how AI models are trained and whether intellectual property rights holders and artists are being compensated fairly, or at all, for content digested by the powerful technology.
Entertainment companies meanwhile have been exploring partnerships with AI startups as a way to save money.
Mansoor said that OpenAI is sensitive to the concerns raised by creatives about potential job losses, but is optimistic about the opportunities.
“Sora is designed as a creative collaborator, so the hope is that it helps artists bring very ambitious projects to life without expensive resources,” Mansoor said. “We think that this is raising the bar for what’s possible in video creation.”
Sora’s proponents say it could help artists test bold ideas without as many budget constraints. Alexia Adana, a New York-based creative director and visual artist, made the case that it could enable more stories from people, including underrepresented creators, who lack financial resources or equipment.
“We’re in this age where you can create anything and you can learn anything, and it’s either free or very low cost,” said Adana, who had early access to Sora. “This is such an exciting time for people who wouldn’t normally have the resources to demonstrate their vision.”
Adana used Sora to create a film concept called “Bloomchild,” which depicted a child made of soil and dirt who blooms and struggles to fit in. She said it was influenced by her own experiences as a person from Jamaica who grew up in the suburbs of Connecticut.
“I’m able to use a tool to come up with a full-on trailer,” Adana said. “I would have never been able to do that before.”
Indie pop artist Washed Out used Sora to create a music video. The director said the tool allowed him to show scenes from multiple places at a fraction of the cost of shooting on location. Meanwhile, a video that explained the origins of Toys R Us was made 80% with Sora, said Nik Kleverov, chief creative officer of Native Foreign, a Culver City-based creative agency and production company.
OpenAI said Sora will have safety measures in place to prevent abuses of the tool, such as child nudity.
Rohan Sahai, Sora’s engineering lead, said OpenAI has done “a lot of safety work to better understand how we prevent misuse” since Sora was first announced in February.
Some artists are angry with how OpenAI has gone about testing and developing Sora. Last month, a group of artists posted concerns in an online letter about how many creators, in their view, are being used to test and promote the technology without adequate compensation.
The open letter has received more than 1,170 signatures, including from London artist Jake Elwes.
“While hundreds contribute for free, a select few will be chosen through a competition to have their Sora-created films screened — offering minimal compensation which pales in comparison to the substantial PR and marketing value OpenAI receives,” the artists wrote.
Mansoor said that the group’s comments had no influence on the timing of Sora’s launch. She said that the company focused on giving early access to artists who would be most disrupted by tools like Sora and give them the option of helping shape the tool’s development.
“There was no obligation to even use the tool, much less give feedback,” she said.
Mansoor said she came from the creative industry, spending more than a decade in independent filmmaking. “I came to OpenAI to create the kinds of experiences that I wish I had coming up in the industry,” she said.
Kleverov said the concerns raised by the letter didn’t reflect the views of early testers. “The AI world is already so small and then within the world, those of us who are playing with Sora — it’s such a supportive space,” he said.
Walter Woodman, a director and co-founder of Toronto and L.A. production company Shy Kids, said once people experience Sora, “then everyone will see that it is not a magic bullet.” Shy Kids has used Sora to work on short films including “My Love.”
Many creators who have used AI tools say it takes time to get the hang of the tools and that the technology has important limitations.
“Sora can help, much like a camera, editing equipment, or great performance,” Woodman said in an email. “But without great storytelling and storytellers, it will be just a tool on the shelf. However, those with talent are in for a creative awakening.”
Business
In a first for the country, voters in Monterey Park ban data centers
Residents of Monterey Park voted overwhelmingly to ban data centers on election day, making the San Gabriel Valley city the first in the nation to do so by public vote.
As of Wednesday, 86% of votes were in favor of Measure NDC, the city ban, according to the Los Angeles County registrar-recorder/county clerk.
Other cities and towns have passed moratoriums on data centers, as a wave of opposition sweeps the country. But the Monterey Park vote can only be overturned by another ballot measure, making it the most permanent data center ban in a jurisdiction.
Monterey Park’s City Council had already banned data centers by ordinance, after a proposed 247,000-square-foot data center met an outpouring of public anger and concern. The developer withdrew that plan.
That facility would have been less than 500 feet away from the nearest home, and would have used three times the electricity of the entire 60,000-person city. Residents said it would have caused noise and air pollution and driven up electricity rates.
“This ensures long-lasting protections for current and future generations,” Amy Wong, co-founder of the group San Gabriel Valley Progressive Action, said of the vote. “It means that future city councils cannot overturn a data center ban, even if data center developers wanted to spend money to fund pro-data center candidates.”
The measure had no formal opposition. The developer of the proposed facility, investment firm HMC StratCap, said it wouldn’t engage in the ballot fight when it withdrew in March.
The Data Center Coalition, an industry trade group, expressed disappointment in the vote.
“It sends a signal that the area is closed for business, both for data centers and for other significant economic development projects,” state policy director Khara Boender said.
“It deprives local residents of the opportunity to compete for jobs and investment, while also causing the area to relinquish substantial long-term economic investment, high-wage jobs, and critical tax revenue to neighboring areas or other states.”
SGV Progressive Action worked with hyperlocal groups including No Data Center Monterey Park to rally support for the measure.
The group is now focused on stopping data center proposals in the City of Industry and fighting a move by City of Industry, Santa Fe Springs, Vernon and City of Commerce to welcome data centers and other industry with fast-tracked permitting and tax incentives.
City of Industry, in the San Gabriel Valley, and Vernon, south of downtown L.A., are primarily industrial areas, each with around 300 permanent residents. They are employment centers, and tens of thousands of workers commute in daily.
There has been little vocal opposition to data centers among the few residents of these cities. Wong said the protest is primarily coming from the surrounding neighborhoods.
“If a data center gets built in City of Industry, residents across the region would bear the brunt of pollution and increased utility costs,” Wong said, noting that it is surrounded by 16 other cities and unincorporated communities.
Data center proposals have been limited in California compared to Virginia, Texas, Georgia, Illinois and Arizona, which sit at the center of a recent boom in hyperscaler facilities to power artificial intelligence.
California has the third-most data centers in the country, with 300, but high electricity rates, expensive land and regulatory hurdles mean that fewer, and smaller, facilities are currently planned than in other hotspots.
That doesn’t mean opposition hasn’t been fierce. In Coachella and Imperial County, residents are showing up in droves to protest local proposals.
In the San Gabriel Valley, Montebello, El Monte and Baldwin Park have all enacted temporary moratoriums, and Alhambra recently banned data centers as part of a zoning code update.
Wong said she hoped the ballot measure vote would galvanize the opposition. “The vote is a testament to the people power of our region,” she said. “Our region is worth protecting, and we won’t let data centers determine our future.”
Business
Rent-hike ban to protect fire victims ends despite gouging concerns
A rule intended to prevent rent gouging in the wake of the Eaton and Palisades fires has lapsed in Los Angeles County, possibly exposing some renters to hikes.
The executive order that blocked rent increases was issued by Gov. Gavin Newsom amid the devastating wildfires last year. Under the order, landlords couldn’t increase rents by more than 10% above their prefire levels.
The rule, which was supposed to be temporary and was repeatedly extended, ended Friday after a vote to extend it again failed to garner enough votes. Supervisor Lindsey Horvath, whose district includes Pacific Palisades, sounded the alarm in a motion to extend price protections that failed to pass at the Board of Supervisors’ May 19 meeting.
“These price gouging protections continue to be necessary as construction and rebuilding continue, and as thousands of people remain displaced,” the motion said. “Families which signed short-term leases could face drastic price increases of 50% or more without further price gouging protection.”
Los Angeles County is home to more than 1 million rental properties, though not all of them needed protection from the new rule. There are already stricter rent increase caps for many residences, depending on the location, type and age of the building. Despite the rent control in the region, the people of Los Angeles pay among the highest rents in the country.
It is uncertain whether renters will face rapidly rising rents now that the protection has lapsed. But some real estate experts and policymakers said there was no need for the temporary rule that was part of the governor’s state of emergency.
Supervisors Kathryn Barger, Janice Hahn and Holly Mitchell abstained from voting on the motion to extend the protection, while Supervisors Hilda Solis and Horvath supported it.
“I abstained because I did not see sufficient evidence to justify extending this emergency ordinance, nor did I see evidence to eliminate it entirely,” Hahn said.
Barger’s office said she supported allowing the protections to sunset while waiting to see whether new information emerged.
“Market data already shows countywide rents are only about 2% above pre-emergency levels and rental inventory has grown,” Barger representative Helen E. Chavez Garcia said. “The Supervisor is also mindful of the burden these ongoing protections place on small property owners throughout the county.”
Mitchell did not immediately respond to a request for comment.
There haven’t been steep rent hikes in neighborhoods within three miles of the Palisades fire, according to a Times analysis of data from Zillow, the property listing company.
In ZIP Codes within three miles of the Palisades fire, rent increased 4.8% from December 2024 to April 2025. In areas around the Eaton fire, which destroyed swaths of Altadena, rent jumped 5.2% in the same period.
In L.A. County, ZIP Codes farther from the fires saw only about a 2% increase.
A landlords representative, Jesus Rojas of the Apartment Owners Assn. of Greater Los Angeles, told the supervisors during public comment at the meeting that the county’s rent-gouging rules have “long outlived the emergency they were intended to address” and are now being “wrongfully used to harm thousands of rental housing providers throughout the county.”
“There is no proof that multifamily rental housing providers are hugely increasing rents for impacted homeowners,” Rojas said.
Indeed, there are strong signs that the property market in the Los Angeles area has at last begun to cool.
L.A. metro-area rent prices recently fell to a four-year low, with the median rent slipping to $2,167 in December.
Meanwhile, condominium sales had their slowest start of the year in decades. Condo sales in Los Angeles have plummeted to a 20-year low, with fewer than 2,000 units sold in January and February — the worst start to the year since 2005.
Newsom defended the price-gouging protections shortly after they went into effect.
“In the days following the Los Angeles firestorms, we worked quickly to protect Los Angeles survivors from any form of exploitation,” he said in February 2025. “The state has the tools in place to not only block price gouging during this emergency, but also to prosecute bad actors.”
The Los Angeles County Department of Consumer and Business Affairs said it received more than 2,000 complaints after the fires, alleging that retailers and landlords were taking advantage of people put in hardship by their losses, and sent out more than 2,000 cease-and-desist letters to businesses and landlords for alleged price gouging, said Morine Merritt, who oversees department investigations into consumer and real estate fraud.
“Close to 90% of the complaints that we received involved allegations of rent increases,” Merritt said in an interview. Now that the fire-related protections have expired, existing laws and “regular market conditions determine price increases for goods and services, including rents,” she said.
Crackdowns on fire-related rent gouging have been rare, said Chelsea Kirk of the activist organization the Rent Brigade, which analyzed L.A. County’s rental market in the year after the fires. It reported 18,360 potential examples of price gouging in listings but said that few lawsuits had been filed by authorities so far.
Last week, Rent Brigade announced what it said was the first private civil lawsuit brought by a family that claimed to be rent-gouged in the aftermath of the wildfires. Plaintiffs Randall and Candy Renick, whose Altadena home was damaged, said they were charged nearly three times the maximum permitted rate for nearly 10 months. They seek restitution of $96,000 plus civil penalties and attorneys’ fees.
The rental market has probably stabilized since the fires, Kirk said, but other families may still be “locked into illegal rents” that they agreed to pay when they were in a rush to find housing after they were displaced.
Business
Read Nick Bilton’s Letter to Scott Pelley
Dear Mr. Pelley:
I meant what I said in my letter last week to the 60 Minutes team: joining 60 Minutes is the honor of my career and I am grateful to be working alongside the people who have contributed to the most important television journalism brand this country has ever produced. While I’m new to 60 Minutes, I’ve devoted my career to investigative journalism and storytelling. I started this job excited to collaborate and to benefit from the wisdom and experience of the 60 Minutes veterans, with you among them. For that reason, one of the first things I did in my new role was call you to talk and invite you to dinner. It is a profound disappointment that you rejected that overture and chose ambush instead. Yesterday, you hijacked my first meeting with staff to disparage me, my qualifications, and my intentions with remarkable incivility and contempt. I welcome a diversity of viewpoints and respectful debate among the team, but this was nothing of the sort. Yesterday’s performative display of hostility enacted in front of the staff instead of in a civil, private conversation-demonstrated that you have no interest in contributing to the future success of the show, or approaching my new tenure with a mind open to collaboration and progress. I am here to deliver first-in-class news programming, not to make headlines about newsroom drama. I am eager to work alongside those who share this goal.
Despite yesterday’s misconduct, I had hoped that in sitting down with you today we could find a path forward together. You made clear that you are not interested in such a path.
Your antipathy to the future of the show has come through loud and clear. And I have heard you. I therefore write on behalf of CBS News, Inc. (“CBS”) to inform you that your employment with CBS is terminated for cause effective immediately. Enclosed is your formal termination letter.
Sincerely,
Nick Bilton
Executive Producer, 60 Minutes
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