Corroborated event · 2 outlets
Disney reportedly found a way to buy Character.AI without taking on its lawsuits, asking the startup to go bankrupt as part of an effort to acquire its trust and safety technology and other intellectual property.
AI brief
Disney agreed to hire the majority of Character.AI's workforce, according to a filing. The filing says the "vast majority" of Character.AI employees offered jobs at Disney accepted, but it is a stalking horse bid, so another company could make a higher offer.
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Character.AI
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Disney moves to acquire Character.AI while avoiding its lawsuits
Disney Asked Character.AI to Go Bankrupt for a Get-Out-of-Lawsuits Card
WIRED AI · 19 Oct 2026, 09:00
Primary source
“The filing also says that the “vast majority” of Character.AI employees who were offered jobs at Disney accepted them. However, this is a stalking horse bid, so another company could come forward with a higher offer.”
Reporting from a publisher outside the organisation being covered.
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