tech-and-media16.115 min read Disney Secures $20M Stake in Character.AI Assets as Chatbot Firm Files for Bankruptcy
Character.AI has filed for Chapter 11 bankruptcy, initiating a court-supervised sale of its assets. Disney Worldwide Services has agreed to pay $20 million to become the stalking-horse bidder for a non-exclusive perpetual license to the company's intellectual property. The deal includes transition services from former Character.AI employees, including CEO Karandeep Anand, who recently joined Disney as Chief Technology Officer. The bankruptcy follows years of legal battles over user safety and intellectual property, with the company citing high development costs and litigation liabilities as primary drivers for the filing.
2 hours ago•Source: Variety
