The Disney-OpenAI Deal Redefines the AI Copyright War

Disney is hedging against the future. OpenAI is clearing a path for Sora. And together they've made a blueprint for how AI and Hollywood can move forward.

On Thursday, Disney and OpenAI announced a deal that might have seemed unthinkable not so long ago. Starting next year, OpenAI will be able to use Disney characters like Mickey Mouse, Ariel, and Yoda in its Sora video-generation model. Disney will take a $1 billion stake in OpenAI, and its employees will get access to the firm’s APIs and ChatGPT. None of this makes much sense—unless Disney was fighting a battle it couldn’t win.