Disney Invests $1 Bln In OpenAI, Opens Sora Access To 200+ Iconic Characters

(RTTNews) - The Walt Disney Co. (DIS) announced a $1 billion equity investment in OpenAI and confirmed that users of OpenAI's Sora video-generation app will be able to create videos featuring more than 200 copyrighted characters from Disney, Marvel, Pixar, and Star Wars beginning next year. OpenAI launched Sora in September, enabling users to generate short videos by typing prompts.

The new three-year licensing agreement gives Disney warrants to purchase additional equity and positions the company as a major OpenAI customer. Disney will also roll out ChatGPT internally and collaborate with OpenAI to develop new tools and experiences.

Disney CEO Bob Iger said that rapid advances in AI represent a pivotal moment for the entertainment industry, and that the partnership will allow Disney to expand its storytelling responsibly while protecting creators and their work.

The collaboration comes amid heightened scrutiny over AI use of copyrighted content. Sora became a viral hit at launch but sparked industry concerns as users created videos using branded characters. The Motion Picture Association previously urged OpenAI to address copyright risks, and OpenAI CEO Sam Altman responded that more refined control over character generation would be implemented.

Major media companies, including Disney, have been actively defending their intellectual property as AI tools evolve. Disney recently sent a cease-and-desist letter to Google, accusing the company of using its copyrighted works to train models without authorization. The company has also taken legal action against Midjourney and issued warnings to Character.AI regarding unauthorized use of Disney-owned characters.

Despite these disputes, Disney's deal with OpenAI signals that it is willing to engage with AI platforms under controlled and protective frameworks. Both companies stated that the agreement reinforces their commitment to AI practices that safeguard creators' rights, uphold user safety, and respect creative industries. OpenAI also agreed to maintain strong controls against harmful or illegal content.

Characters that will be available through Sora include Mickey Mouse, Ariel, Cinderella, Iron Man, and Darth Vader. The agreement excludes talent likenesses and voices. Users will also be able to generate images using the same intellectual property through ChatGPT Images.

Sam Altman said Disney's leadership in storytelling makes the partnership an exciting opportunity to expand how people create and experience content. Disney+ will also feature curated selections of Sora-generated videos.

DIS currently trades at $111.19 or 2.17% higher on the NYSE.