Who do you think is going to be drafted? You think the DOGE data grab plus the requests for state voter registration rolls aren't going to be used to filter a draft of the front lines to those they want out of the country?
How do you get US citizens out of the country if you can't legally deport them?
If they've been doing illegal shit the whole time with profiling, do you really think they aren't going to also profile in how they conduct a draft?
I suspect it's that they got eclipsed by ByteDance with Seedance 2.0.
The video for that model is really good and makes Sora look pretty meh, and it may have been that current work on a next gen Sora wasn't going to be competitive enough.
The worst thing a lab can do right now is look like they are falling behind (i.e. Meta), especially with OpenAI planning for an IPO.
So on top of the lackluster "social media" offering tied to Sora they decided to shutter the entire product line of video and pivot to enterprise (where they've already lost significant market share to Anthropic).
They're in a pretty meh place at the moment overall tbh. I'm skeptical they'll recover.
(But I wouldn't mistake their fumbling for an industry wide shift on AI in general or even video AI.)