Disney agrees to hire the majority of Character.AI's workforce
Disney has agreed to hire most of Character.AI's employees, according to a court filing. The filing states that the vast majority of employees offered Disney jobs accepted them. The arrangement is a stalking horse bid, meaning another company could still make a higher offer.
Why it matters
A stalking horse bid is an initial offer in a bankruptcy-style sale process that sets a floor price for competing bids. Staffing and ownership changes at Character.AI may affect the availability, terms, or direction of its character chatbot platform for businesses that rely on it.
Who should care
Developers and businesses building on or integrating Character.AI, AI chatbot companies, entertainment and media companies
What you can do
If your product depends on Character.AI, review its terms of service and data export options and identify a fallback chatbot provider in case access or terms change.