Disney seeks assets from controversial AI companion start-up
TL;DR
Character. AI has entered a voluntary Chapter 11 bankruptcy process and plans a court-supervised sale. Disney is the stalking horse bidder and has agreed to buy some of the assets for 20 million dollars. According to a court filing, liabilities are between 50 and 100 million dollars.
Nauti's Take
For Disney the deal is a cheap opportunity: 20 million dollars for technology and know-how from a start-up once valued at more than a billion dollars. The risk lies in the history, since lawsuits over harm to minors make companion bots delicate for a family brand.
Anyone planning chat personas for young users should build in age checks and safeguards from day one.
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