Character.AI, a chatbot maker, filed for bankruptcy earlier this week. Disney stepped in and agreed to give jobs to most of its staff. The deal includes at least 60 former employees and an estimated $60 million in annual compensation. Former CEO Karandeep Anand will become Disney’s first chief technology officer.
What the deal looks like
A legal filing spotted by Bloomberg says Disney will make employment offers to the majority of Character.AI’s workforce. The filing calls the arrangement a “stalking horse bid,” meaning another buyer could still try to outbid Disney. The startup said Disney had already agreed to buy some of its assets for $20 million.
Why it matters
Former Character.AI staff will now work on Disney’s own AI projects, potentially shaping the chatbots you see in Disney apps and games. For users, this could mean more polished, Disney‑styled virtual characters. The exact products and timelines remain unclear.
