Disney and OpenAI have made a surprise deal – what happens next?

The world's most famous artificial intelligence company and the world's most famous entertainment firm have reached a surprising agreement that will allow AI versions of some of the most iconic movie, television and cartoon characters to be used in generative AI videos and images. The deal could be a sign that major rights holders see no way to stem the tide of artificial intelligence tools on the market.

The Walt Disney Company has signed a deal with OpenAI that will allow the AI's video creation tool Sora and image creator ChatGPT to feature more than 200 of Disney's most iconic characters. Meanwhile Disney remains in dispute with another artificial intelligence firm, Midjourney, over alleged infringement of their intellectual property (IP), claiming Midjourney aims to “explicitly incorporate and replicate famous Disney and Universal characters” into its image creation tool. The lawsuit was seen as evidence that copyright holders are beginning to defend your rights more vigorously against unauthorized use by artificial intelligence companies – but some experts now believe the deal may be an indication that Disney thinks if you can't beat the artificial intelligence companies, you should join them.

Characters that are now considered fair game for OpenAI users include the likes of Mickey and Minnie Mouse, Simba and Mufasa from Lion King and Moana, as well as Marvel and Lucasfilm characters, including some Star warsthe most famous names. While users will be able to create videos of these characters, the rights to their voices, many of which belong to celebrities, such as Tom Hanks in the case of Woody from Toy Story – will not be allowed.

Users will be able to create these images and videos starting in early 2026. The license agreement is valid for three years.

According to statement released by both companiesThe deal comes after OpenAI committed to implementing age-appropriate policies and “reasonable controls” to prevent underage users from accessing its products, as well as “strong controls to prevent the creation of illegal or harmful content, respect the rights of content owners over model outputs, and respect the rights of individuals to appropriately control the use of their voice and images.”

For its part, Disney agreed to invest $1 billion in OpenAI, as well as acquire additional shares in the fast-growing artificial intelligence firm. Some of the characters that can now be used by OpenAI's tools are the same characters that Disney referenced in its lawsuit against Midjourney.

“This is a great opportunity for the company to give consumers the opportunity to interact with our characters on what is arguably the most advanced technology and media platform available today,” Disney CEO Bob Iger. told CNBC. “OpenAI respects and values ​​our creativity.” Iger also said that the development of artificial intelligence is “breathtaking.” In the same interview, OpenAI CEO Sam Altman said that “people really want to connect with Disney characters and express creativity in new ways.”

Despite the warm words, the deal came as a shock to many. “I'm surprised because Disney is known to protect its brand,” says Catherine Flick at the University of Staffordshire, UK. The company has previously vigorously protected the intellectual property of its characters, including fighting to keep Mickey Mouse out of the public domain, the company said. Rebecca Williams at the University of South Wales, UK.

Others, however, are less taken aback by the deal. “It was clear that Disney didn't want to attack big tech companies like Google, OpenAI and Meta because they always saw generative AI as something that could work in their favor,” says Andres Guadamuz at the University of Sussex, UK.

Guadamuz believes the OpenAI deal is good for Disney because of its potential. “I think what will happen is that they will use their vast catalog to train their own models,” he says, adding that it could be used in the animation process itself. Disney will reportedly become “major customer” of OpenAI tools.

Williams is concerned that the agreement is indicative of the general direction of the fight over AI and copyright. “It shows that companies like Disney seem to think it's impossible to stem the tide of artificial intelligence,” she says. “Their strategy is to partner with such companies, seeking to profit from the use of their intellectual property, rather than have it stolen from them and used anyway.”

However, Are you Martin Licensing company Copyrightish believes that other companies involved in artificial intelligence will begin to meet license holders halfway. “That’s where 2026 is heading,” he says. “Licensing is becoming a driver of quality. AI platforms with access to trusted and recognizable intellectual property will displace the trash, and unlicensed or shared content will be lost.”

Whether it's a positive, proactive move or a defensive move driven by exasperation, the partnership is contingent on an agreement for an initial three-year term – and Flick believes it will only be a matter of time before the deal is abandoned. “There will be people who will use it in ways that Disney wouldn't normally want their brand used,” she says.

Flick adds: “This will be a good test case to see what happens using this IP address, and personally I think it will be an exercise to see how long [Disney] put up with people doing things they don't really like with their IP.”