Highlights
- Disney invests £750 million in OpenAI, granting Sora access to more than 200 Disney, Marvel, Pixar and Star Wars characters.
- The three-year agreement covers characters only – not talent likenesses or voices.
- The deal comes amid ongoing concern in Hollywood about AI’s impact on creative work and rights.
Disney strikes landmark deal with OpenAI
Disney has confirmed a £750 million equity investment in OpenAI, allowing the company’s Sora video generator to use hundreds of its characters. Under the three-year licensing deal, Sora users will be able to create short social videos featuring figures from Disney, Marvel, Pixar and Star Wars.
The agreement does not permit the use of performers’ likenesses or voices.
Disney chief executive Bob Iger calls the partnership a blend of the company’s “iconic stories and characters” with OpenAI’s technology, saying it will put “imagination and creativity directly into the hands of Disney fans”.
Hollywood tensions shape the backdrop
The announcement marks OpenAI’s biggest move yet into the entertainment world. Sora’s earlier rollout was met with fierce criticism from writers, actors, VFX artists and other industry workers concerned about job losses, unauthorised likeness use and weakening creative rights. Several unions have staged protests, and AI firms continue to face copyright lawsuits.
Sora previously sparked controversy when users generated videos that placed well-known characters in inappropriate or offensive settings. The platform also drew condemnation for racist portrayals of Martin Luther King Jr, prompting OpenAI to block his likeness. Malcolm X’s daughter described seeing her father depicted by Sora as “deeply disrespectful”.
Disney has been protective of its intellectual property. It has issued cease-and-desist notices to AI companies, including Character.AI and Google, over alleged unauthorised use of its characters.
OpenAI positions itself as a partner, not a threat
OpenAI CEO Sam Altman has recently been making overtures to the entertainment industry, including an appearance on The Tonight Show. He says the Disney deal shows AI firms can collaborate with creatives “responsibly” while supporting innovation and broader reach for storytelling.
Alongside the character licensing agreement, Disney will use OpenAI’s tools through its application programming interfaces to develop new products and internal systems. Selected Sora-generated videos will also be available on Disney+, and Disney employees will have access to ChatGPT.
OpenAI CEO Sam Altman has recently been making overtures to the entertainment industryX/ DiscussingFilm
A major shift for the entertainment sector
Iger says technological change has always reshaped entertainment, and describes this partnership as a significant moment for the industry. He stresses that Disney intends to extend its storytelling power through generative AI “thoughtfully and responsibly”, with protections in place for creators and their work.
