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Disney, OpenAI strike licensing deal

Dec 11, 2025, 5:30pm EST
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Disney film characters wave to park guest during the Festival of Fantasy parade at the Magic Kingdom Park at Walt Disney World in Orange County, Florida
Joseph Prezioso/Anadolu Agency via Getty Images

Disney struck a massive deal with OpenAI that will allow users to make AI-generated videos featuring the entertainment giant’s IP.

The three-year licensing agreement, in which Disney will also invest $1 billion in OpenAI, will cover more than 200 familiar faces from Pixar, Marvel, and Star Wars movies. Media and entertainment firms spanning film, music, and news have struggled to balance embracing new technologies with protecting their copyrights.

Disney in particular has seen its in-house AI ambitions stall, and earlier this year sued AI firm Midjourney over its image generator. A patchwork of global regulations could pose another challenge: India this week proposed a mandatory blanket license for AI training, requiring companies to pay royalties for using copyrighted material.

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