Disney wants a slice of the Character.AI tech it once tried to shut down.
Character Technologies, the company behind Character.AI, kicked off a bankruptcy proceeding this week. As part of it, Disney has offered $20 million for a non-exclusive, perpetual license to some of Character.AI's intellectual property. Character.AI's own press release didn't specify which assets are on the table. The chatbot maker has spent the past year fending off scrutiny over bots that mimic real people and fictional characters, including, by Disney's own account, its characters.
The offer lands about 13 months after Disney sent Character Technologies a cease-and-desist letter accusing it of weaponizing Disney characters in ways that could damage the brand long term. Bankruptcy court is a different venue than a trademark fight: distressed assets sell cheap, and $20 million for a perpetual license is a rounding error for a company Disney's size.
Call it opportunistic recycling - the same chatbot tech Disney called brand-damaging a year ago is now just inventory with a price tag.