Disney invests $1B in OpenAI, allows Sora character videos

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Dec. 11 (UPI) -- The Walt Disney Company announced Thursday a $1 billion equity investment in OpenAI, paired with permission for Sora app users to create videos featuring its copyrighted characters.

OpenAI's Sora launched in September after its unveiling last year in February and enables users to generate short videos from simple text prompts.

Sora users can create content featuring over 200 characters from Disney, Marvel, Pixar and Star Wars beginning next year under the new three-year licensing deal with Disney.

"The rapid advancement of artificial intelligence marks an important moment for our industry, and through this collaboration with OpenAI we will thoughtfully and responsibly extend the reach of our storytelling through generative AI, while respecting and protecting creators and their works," Disney CEO Bob Iger said in a statement.

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Disney will receive warrants for additional OpenAI equity and become a key customer under the agreement.

The company plans to roll out ChatGPT to employees and collaborate on new tools and experiences.

Both companies pledged to deploy AI in ways that safeguard users, uphold rights of creators and show "respect" for broader creative industries.

They added OpenAI will keep "robust controls" in place to stop the generating of unlawful or harmful material.

OpenAI's Sora uses AI-powered technology to incorporate existing digital information and extend, remix, blend or generate new content from text.

Under the agreement, Sora users can create content featuring icons like Mickey Mouse, Ariel the mermaid, Cinderella, Iron Man and Darth Vader and will include costumes, props, vehicles and "iconic environments."

Disney and OpenAI confirmed licensing excludes talent likenesses or voices.

"Disney is the global gold standard for storytelling, and we're excited to partner to allow Sora and ChatGPT Images to expand the way people create and experience great content," ChatGPT CEO Sam Altman wrote in a statement.

Altman added the agreement shows how AI companies "and creative leaders can work together responsibly to promote innovation that benefits society, respect the importance of creativity and help works reach vast new audiences."

On Thursday, the deal was called "masterful" and "consequential" by Disney's former government relations chief.

Iger effectively "maintained Disney's control over the Disney characters in the AI world," Preston Padden, former president of ABC Television Network, said on social media.

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