Disney Invests $1B in OpenAI to Integrate AI-Generated Content
Walt Disney Co. has committed $1 billion to OpenAI in a strategic partnership that grants the AI firm access to Disney's iconic character library. The deal enables OpenAI's Sora platform to generate short-form videos featuring over 200 Disney, Marvel, and Star Wars characters, with curated content slated for Disney+ streaming.
Shares of Disney ROSE 1.4% on the announcement, extending this week's gains to nearly 5%. The three-year licensing agreement includes a one-year exclusivity window and provisions for Disney employees to utilize ChatGPT for product development.
CEO Bob Iger previously hinted at AI's transformative potential for Disney's direct-to-consumer platforms during November's earnings call. The MOVE signals traditional media's accelerating adoption of generative AI technologies to enhance digital offerings.