OverDrive sues OpenAI: Trademark clash over "Sora"

Digital library giant OverDrive has filed a lawsuit in the U.S. District Court for the Northern District of Ohio, alleging that OpenAI’s text-to-video application “Sora” infringes its trademark by creating consumer confusion through similarities in name, iconography, and color scheme with OverDrive’s student-focused reading app, also named “Sora.” The complaint accuses OpenAI of trademark infringement, unfair competition, and deceptive trade practices.

OverDrive stated that its “Sora” brand, launched in 2018, is now used in over 12,000 K–12 school districts across the United States. Despite being aware of OverDrive’s established presence, OpenAI reportedly launched its identically named product in February 2024, incorporating a similar purple-to-blue gradient and book-related visual elements—leading teachers, librarians, and students to mistakenly associate the two products. OverDrive claims this confusion has harmed its market share and brand reputation.

The lawsuit seeks a permanent injunction barring OpenAI from continued use of the “Sora” name and requests monetary damages—including lost profits and legal fees—though the exact amount has not been disclosed.

OpenAI has not yet filed a formal response, but in a public statement, the company emphasized that its “Sora” is a generative video model, fundamentally distinct from e-reading software, suggesting it will argue that the services fall under different trademark classes. Legal experts note, however, that if the court finds the two services share “related channels of trade” and “overlapping audiences,” OverDrive’s trademark rights could receive expansive protection. The case is widely viewed as a landmark dispute over cross-category trademark conflicts in the AI era.