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Disney Hands Its Characters Over to OpenAI in $1 Billion Deal

Connie Marie by Connie Marie
December 11, 2025
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Disney Hands Its Characters Over to OpenAI in  Billion Deal
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It’s a whole new world for Disney and artificial intelligence now that the company has signed a major deal with OpenAI. In an unprecedented move, the Walt Disney Company will invest a whopping $1 billion in the AI research and development company.

As part of the controversial three-year licensing agreement, Disney will also allow its characters to be used in Sora, the generative AI app where users can generate short-form AI videos using descriptive text prompts.

According to an official press release, a selection of these “fan-inspired” videos will stream on Disney+.

As part of the new deal, Disney will use OpenAI’s technology to build new products and experiences, including for their Disney+ streaming app. Disney employees will also be given access to ChatGPT as a work tool.

“The rapid advancement of artificial intelligence marks an important moment for our industry, and through this collaboration with OpenAI we will thoughtfully and responsibly extend the reach of our storytelling through generative AI, while respecting and protecting creators and their works,” Disney CEO Bob Iger said in the press release.

“Bringing together Disney’s iconic stories and characters with OpenAI’s groundbreaking technology puts imagination and creativity directly into the hands of Disney fans in ways we’ve never seen before, giving them richer and more personal ways to connect with the Disney characters and stories they love,” he added.

READ MORE: Dark and Disturbing Scenes From Animated Disney Movies

What Disney’s OpenAI Agreement Means

The new deal means Disney is officially OpenAI’s largest major licensing partner on the Sora app, marking a turning point moment for Hollywood. It also means you can expect to see a flood of bizarre videos of Disney characters doing weird things across your social media feeds. (Ever wanted to see Rapunzel and Flynn Ryder do a TikTok dance in trendy athleisure wear? Or Grogu breakdance to old-school hip-hop in a nightclub? Me neither, but you probably will soon enough!)

Confirmed Disney characters that Sora users will now have access to include some of the company’s most beloved and well-known pop culture figures, such as Mickey Mouse, Minnie Mouse, Simba, Mufasa, Lilo, Stitch, Belle, Beast, Ariel, Cinderella and Baymax.

Characters from Toy Story, Encanto, Moana, Frozen, Inside Out, Monsters, Inc., Up and Zootopia will also be available in the generative AI app, as will “animated or illustrated versions” of Marvel and Star Wars/Lucasfilm characters such as Han Solo, Leia, Yoda, Darth Vader, Thanos, Loki, Groot, Iron Man, Captain America and more.

Exact likenesses or voices of real-life actors will not be incorporated into the deal, with both Disney and OpenAI saying in a press release that they “respect the rights of individuals to appropriately control the use of their voice and likeness.” That said, users should expect more stylized illustrated versions of characters famously played by talent such as, say, Harrison Ford (Han Solo) or Mark Hamill (Luke Skywalker), instead of lifelike avatars.

And if you’re worried about ill-intentioned Sora users putting your favorite Disney characters in, um, compromising positions, or using characters to promote off-brand messages, Sora restricts abusive generative prompts involving suggestive/NSFW themes, violence and hateful content.

Disney and OpenAI’s deal does not allow OpenAI to train its learning models using Disney’s intellectual property.

ScreenCrush logo

Forgotten Animated Disney Movies That Deserve Another Look

From groundbreaking CGI animated movies to lesser-known traditionally hand-drawn gems, here are 11 Disney movies that deserve to be rediscovered.

Gallery Credit: Erica Russell



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Connie Marie

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