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Disney hits ByteDance with legal action over Seedance 2.0 AI copyright use

Disney has issued a cease-and-desist notice to ByteDance

Disney ByteDance lawsuit

Move marks the studio’s strongest action yet as industry pressure on AI firms intensifies

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Highlights

  • The Walt Disney Company accuses ByteDance of using its characters to train an AI video model without permission
  • Letter alleges widespread distribution of infringing videos featuring major franchises
  • Move marks the studio’s strongest action yet as industry pressure on AI firms intensifies

Allegations over unauthorised use

Disney has issued a cease-and-desist notice to ByteDance, claiming the tech group used its copyrighted works to develop and launch the Seedance 2.0 video generation service without compensation. The letter argues the platform was released with what it describes as a built-in library of protected characters drawn from Disney properties, presenting them as though they were free to use.

Disney’s legal representatives said the company’s intellectual property was being reproduced, distributed and adapted without authorisation, calling the activity deliberate and extensive. The studio added that the examples identified so far may represent only a fraction of the alleged misuse.


Examples cited in the complaint

The notice includes references to videos generated on the platform that feature recognisable characters such as Spider-Man, Darth Vader, Grogu and Peter Griffin. Disney says users have shared these clips widely on social media, demonstrating how quickly the content has circulated.

The company also argues that its material has been used to support a commercial service, compounding the alleged infringement.

Industry reaction gathers pace

The dispute comes amid broader criticism from Hollywood groups. The Motion Picture Association, led by Charles Rivkin, called for ByteDance to halt what it described as infringing activity. Meanwhile, the SAG-AFTRA and the Directors Guild of America, part of the Human Artistry Campaign coalition, urged authorities to deploy legal measures to address the issue.

Part of a wider enforcement push

Disney has taken an increasingly assertive stance on AI and copyright. Previous actions include notices sent to Character.AI and Google, which led to adjustments and removals of unauthorised content. The studio also pursued legal action against Midjourney and joined NBCUniversal and Warner Bros. Discovery in a case against MiniMax over alleged large-scale piracy.

Openness to partnerships

Despite the tougher stance, Disney has signalled it is willing to collaborate with AI developers under licensing arrangements. The company previously struck a major partnership with OpenAI, becoming a content licensing partner on its video platform and committing a significant equity investment as part of the agreement.

What comes next

The latest letter underscores how rapidly legal tensions are escalating between studios and AI developers, with Disney positioning itself at the forefront of efforts to set boundaries around the use of copyrighted material in generative tools.

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