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Startups and funding

Character.ai will shut down if no buyer emerges, capping a fall from $2.7 billion Google deal to bankruptcy.

The DecoderIndependent reporting··Updated just now
Corroborated event · 6 outlets

Character.AI, an interactive chatbot platform, filed for bankruptcy five years after launching and is looking for a buyer, and will shut down if none emerges. The startup will sell some of its assets to Disney for $20 million.

AI brief

Character.ai has filed for bankruptcy and is looking for a buyer, and the platform will shut down if none emerges.

Written by AI from The Decoder's published text. Read the original for full details.

More coverage of this story (5)

Character.AI files for bankruptcy and plans to sell assets to Disney

Character.AI files for bankruptcy — what happens to your chats and AI companions now?
Tom's Guide AI · 14 Oct 2026, 09:15
Disney offers $20M for Character.AI’s scandal-plagued chatbot tech
Ars Technica AI · 13 Oct 2026, 18:23
Character.AI just filed for bankruptcy, and former foe Disney may buy it for parts
Engadget AI · 13 Oct 2026, 13:30
Just 5 years in, interactive chatbot platform Character.AI files for bankruptcy
TechCrunch AI · 13 Oct 2026, 12:23
Character.AI files for bankruptcy
The Verge AI · 13 Oct 2026, 10:32

Primary source

Reporting from a publisher outside the organisation being covered.

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