CHARACTER AI
Disney wishes upon a bankrupt star
Character.AI, one of the early success stories of the AI boom, has filed for bankruptcy and plans to sell some of its assets to Disney.
The platform, which lets people chat and roleplay with AI characters, has faced growing legal trouble over chatbot safety, including lawsuits involving young users.
The company has filed for bankruptcy protection in the US, with estimated debts of $50 million to $100 million.
Disney is now the lead bidder, offering $20 million for some of its assets as it pushes further into AI.
Here's what we know:
Its $20 million offer sets the starting price for other buyers, and it would also get access to some of Character.AI's technology.
Disney recently hired Character.AI's former CEO, Karandeep Anand, as its technology chief, with more employees expected to join him.
Character.AI hopes to finish the sale by late November or early December. Its services will keep running for now, but could shut down if no suitable buyer comes forward.
Bibbidi-bobbidi-bankrupt
In an interesting twist, Disney previously accused Character.AI of using its famous characters without permission.
Now, it could end up owning part of the company it once challenged.
Begs the question, is Disney a GEMINI?!- MG