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● LIVE Updated 59m ago · 14 sources tracked

After A Year Of Layoffs, Disney Finds $180 Million For Recruits From Bankrupt Character.AI

Disney has agreed to hire the majority of the workforce from Character Technologies, committing roughly $180 million over three years for staff following the chatbot platform's bankruptcy filing on October 12. The transaction includes $20 million designated for the firm's code, while roughly 12 million users and ongoing legal liabilities remain behind in Chapter 11 proceedings. Disney's recruitment move targets at least 60 employees from the chatbot developer, which previously faced accusations regarding harmful child behavior. The deal arrives following a year of layoffs across the entertainment corporation.

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  • ✓ Disney agreed to hire the majority of Character.AI's workforce, committing roughly $180 million over three years for staff.
  • ✓ Character Technologies filed for bankruptcy protection on October 12.
  • ✓ Disney is paying $20 million for the firm's code while leaving 12 million users and lawsuits behind in Chapter 11.
  • ✓ Disney has agreed to hire at least 60 employees from the chatbot platform.
🛡️ Source Corroboration: 14 independent reporting domains (100% confidence) ⏱ Read time: ~2 min

What changed

Disney agreed to pay $180 million over three years to hire the majority of Character.AI staff and $20 million for its code following the firm's bankruptcy filing.

Live updates

  1. Disney Commits $180 Million To Hire Staff From Bankrupt Character.AI

    Disney has agreed to hire the majority of the workforce from Character Technologies, committing roughly $180 million over three years for staff following the chatbot platform's bankruptcy filing on October 12. The transaction includes $20 million designated for the firm's code, while roughly 12 million users and ongoing legal liabilities remain behind in Chapter 11 proceedings. Disney's recruitment move targets at least 60 employees from the chatbot developer, which previously faced accusations regarding harmful child behavior. The deal arrives following a year of layoffs across the entertainment corporation.

    Why it matters

    Character Technologies filed for bankruptcy protection after facing scrutiny and lawsuits from multiple states, families, and federal regulators regarding its AI chatbots. The bankruptcy structure allows Disney to acquire key technical talent and code assets while leaving legal liability behind. The arrangement enables Disney to secure specialized artificial intelligence personnel amidst a broader corporate cost-cutting environment.

    What is confirmed

    • Disney agreed to hire the majority of Character.AI's workforce, committing roughly $180 million over three years for staff.
    • Character Technologies filed for bankruptcy protection on October 12.
    • Disney is paying $20 million for the firm's code while leaving 12 million users and lawsuits behind in Chapter 11.
    • Disney has agreed to hire at least 60 employees from the chatbot platform.

    Still unconfirmed

    • Disney allegedly asked Character.AI to go bankrupt to secure a get-out-of-lawsuits card.

    What to watch next

    • Developments in the Chapter 11 bankruptcy proceedings regarding liability retention
    • Regulatory and state lawsuit responses to the asset sale structure
    Sources used for this update (15)
    1. en.wikipedia.org — After (film series) - Wikipedia
    2. www.justwatch.com — After streaming: where to watch movie online? - JustWatch
    3. movieweb.com — After Movies in Order Chronologically and by Release Date
    4. en.wikipedia.org — After (2019 film) - Wikipedia
    5. www.afterpay.com — Buy Now Pay Later with Afterpay
    6. vimeo.com — After Full’High-Quality’ Movie HD | Videos & Movies on Vimeo
    7. Bloomberg.com — Disney Offers $180 Million Soft Landing to Staff at Bankrupt AI Firm
    8. TechCrunch — Disney agrees to hire the majority of Character.AI’s workforce
    9. WIRED — Disney Asked Character.AI to Go Bankrupt for a Get-Out-of-Lawsuits Card
    10. Cartoon Brew — After A Year Of Layoffs, Disney Finds $180 Million For Recruits From Bankrupt Character.AI
    11. NPR — An AI chatbot files for bankruptcy. Is it a bad omen for the industry?
    12. www.afterlife.ai — Character.AI Lawsuits: Settlements, States, Disney | Afterlife AI
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