What Disney’s $1B OpenAI Deal Means for AI and Hollywood

Disney has agreed to invest $1 billion in OpenAI as part of a landmark licensing deal that will allow users to generate images and videos featuring some of the company’s most recognizable characters through ChatGPT and OpenAI’s video platform, Sora.

The agreement marks the first time a major Hollywood studio has formally licensed its intellectual property to a leading AI company, signaling a significant shift in how entertainment giants approach artificial intelligence.

Under the deal, users will be able to create and share content featuring more than 200 Disney-owned characters, spanning franchises such as Pixar, Marvel, and Star Wars, including figures like Mickey Mouse, Luke Skywalker, and Deadpool.

Disney has emphasized that the partnership does not include actors’ voices or likenesses, limiting the use to visual representations only.

The collaboration comes as AI-generated content continues to raise concerns across Hollywood, particularly around copyright, deepfakes, and the protection of creative labor.

Industry unions have warned that performers’ rights could be undermined if safeguards are not enforced, while OpenAI has faced criticism in the past over the misuse of realistic AI-generated videos.

Disney says the partnership is intended to responsibly expand its storytelling reach, while legal experts view the deal as evidence that content owners and AI firms are moving quickly toward licensed collaborations rather than courtroom battles. The new tools are expected to launch in early 2026.