Video Generation
Jun 29, 2026

The Gist
ByteDance has unveiled Seedance 2.5, its latest video AI model launching in early July, while Alibaba's competing AI video model has risen to second place following OpenAI's decision to shut down Sora and ByteDance's shelving of its previous Seedance product. Google DeepMind's $75 million investment in A24 signals a strategic pivot from video generation tools toward actual content creation, marking a significant shift in how major tech companies are approaching the video AI space.
Today's Stories
- 1
Soracom Adds New Feature to "Wisora" — Handover Function Enabling Collaborative Response Between AI and Humans
Soracom Adds New Feature to "Wisora" — Handover Function Enabling Collaborative Response Between AI and Humans
- 2
Google DeepMind invests $75M in A24, signaling shift from video tools to content
Google DeepMind invested $75 million(約120億円) in indie film studio A24 this week, with the two companies partnering to develop AI tools for filmmakers. Investment in AI video and media tech startups has more than tripled over the past five years, reaching $5.6 billion(約9000億円) this year, up over 43% from 2025's annual total. The market is shifting beyond competition over video-generation technology itself. Video generation is becoming easier to build, with new models from China rivaling US and European products, and incumbents developing their own AI capabilities. This means the real value may now lie in content creation and end products, not just the software layer—a change that opens opportunities for creative studios alongside tech companies.
VCs are beginning to fund AI-native or AI-powered studios. Promise has raised funding from backers including Andreessen Horowitz and Google's AI Futures Fund, and London-based Wonder raised $12 million(約19億円) from investors including Atomico and LocalGlobe.
- 3
DeepSeek R1 tops reasoning benchmark, claims #2 open-weights rank
DeepSeek released R1, an open-weights reasoning model that scores 96.3 on AIME 2024 (a math competition benchmark) and claims the #2 position among open-weights reasoning models. The model uses a technique called chain-of-thought reasoning, where it shows its work step-by-step before arriving at an answer. Open-weights models—whose code and weights are publicly available—let researchers and companies build on the technology without vendor lock-in. A strong reasoning model in this category may shift how organizations approach complex problem-solving tasks, since they can now run advanced reasoning locally rather than relying solely on proprietary services.
DeepSeek's reasoning capabilities are available now via API. The model is positioned as a reasoning-focused alternative in a field where proprietary systems have historically dominated performance benchmarks.
- 4
ByteDance unveils Seedance 2.5 video AI, launching early July
ByteDance introduced five new AI models at Volcano Engine's FORCE conference, with Seedance 2.5 as the centerpiece—a video generation model scheduled to launch in early July. Video generation is a fast-growing capability in AI product development; new models from major tech companies shape what features become available to businesses and developers building on their platforms.
Seedance 2.5 is set to launch in early July, when the model's real-world performance and ease of integration will become clear.
- 5
The Breakthrough for On-Site DX is Here. SORACOM Discovery 2026 Featured Sessions & Exhibitions
The Breakthrough for On-Site DX is Here. SORACOM Discovery 2026 Featured Sessions & Exhibitions
- 6
Alibaba's AI video model becomes No. 2 as OpenAI shuts Sora, ByteDance shelves Seedance
Alibaba Cloud released HappyHorse 1.1, an upgraded AI video generation model now available on Alibaba Cloud Model Studio with full API access for enterprise customers and developers. The release comes as OpenAI discontinued Sora and ByteDance indefinitely shelved the international rollout of Seedance 2.0 following copyright complaints from Hollywood studios. For enterprise teams relying on AI video tools for marketing, advertising, and content production, two major competitive options have exited or paused in a matter of months. This contraction sharply narrows the available choices for businesses evaluating or integrating video generation into their workflows.
Alibaba is offering a 40% sitewide launch discount for the first two weeks to encourage adoption during this window of reduced competition.
What to Watch
Watch how venture funding transforms AI video creation as studios like Promise and Wonder scale their operations, while simultaneously monitoring whether open alternatives like DeepSeek's reasoning API and upcoming releases such as Sora 3.5 can meaningfully compete against established proprietary platforms—especially as companies like Alibaba aggressively push adoption through limited-time incentives.
Sources
- ソラコム「Wisora」に新機能 AIと人が共同対応するハンドオーバー機能を追加
- From models to studios: how AI video investment is evolving
- Hondaの次世代モビリティ「UNI-ONE」実機展示 SORACOM Discovery 2026で体験可能
- ByteDance's Seedance 2.5 breaks the 30-second barrier for AI video generation
- 現場DXの突破口はここに。SORACOM Discovery 2026 注目セッション&展示
- Alibaba's AI video model rises to No. 2 in global rankings, as OpenAI's Sora and ByteDance's Seedance fall away
- AI Momentum Outweighs Iran Risks and Fed Concerns, Says Chief Economist
- Aviation officials turn to AI for combating runway issues
- Microsoft Research's Mirage gives video generation a persistent spatial memory that doesn't forget what's around the corner
- This market is at 'a 10': Wall Street weighs record SpaceX IPO amid AI-driven stock market
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