https://www.live-feeds.com/feed/character-ai-a-huge-ai-chatbot-company-has-gone-bankruptContinuously updated, source-cited coverage. https://www.live-feeds.com/feed/character-ai-a-huge-ai-chatbot-company-has-gone-bankrupthttps://www.live-feeds.com/feed/character-ai-a-huge-ai-chatbot-company-has-gone-bankrupt#u135574Mon, 19 Oct 2026 11:02:30 +0000Character.AI has filed for Chapter 11 bankruptcy following severe legal, regulatory, and operational headwinds, including lawsuits alleging ties to teen suicides. The once-valued-at-$1 billion startup initiated a voluntary court-supervised sale process, drawing a $20 million stalking-horse bid from Disney for its chatbot technology and intellectual property. The bankruptcy has sparked intense concern among experts and state attorneys general regarding the massive amount of intimate and sensitive data collected from children, as well as the future privacy of millions of users who shared private