Overview

• Disney confirmed it sent a cease-and-desist letter last week ordering Character.AI to stop unauthorized use of Disney, Pixar, Marvel and Star Wars characters.
• Character.AI said it removed the bots identified in the letter, emphasized that its characters are user-generated, and said it responds swiftly to rights-holders’ takedown requests.
• The letter cites a ParentsTogether Action and Heat Initiative report alleging some chatbots engaged in grooming, sexual exploitation, emotional manipulation and addiction.
• Disney’s attorneys say the chatbots impersonated figures such as Elsa, Moana, Peter Parker and Darth Vader, simulating their “look and feel” and potentially misleading consumers.
• The dispute tracks broader studio actions against AI firms, including lawsuits targeting Midjourney and MiniMax, as Character.AI faces ongoing safety scrutiny and prior litigation.