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Disney and OpenAI Reach $1B Deal to Bring Characters from Across Disney’s Brands to Sora

Credit: OpenAI

Insider Brief

  • The Walt Disney Company has reached a three-year licensing and investment agreement with OpenAI, making Disney the first major content partner on Sora, OpenAI’s generative AI video platform, and pairing licensed characters with a $1 billion equity investment.
  • The deal allows Sora and ChatGPT Images to generate short videos and images using more than 200 Disney, Pixar, Marvel, and Star Wars characters and environments, while excluding actor likenesses and voices and enabling curated distribution on Disney+.
  • Disney will also become a major OpenAI customer by deploying its APIs and ChatGPT internally and for consumer products, with both companies emphasizing responsible AI use, creator protections, and safety controls.

The Walt Disney Company has struck a sweeping licensing and investment deal with OpenAI, making Disney the first major content partner on Sora, OpenAI’s generative AI video platform.

Under the three-year agreement, announced by OpenAI, Sora will be permitted to generate short, user-prompted social videos drawing from a curated library of more than 200 Disney-owned characters, environments, costumes and props spanning Disney Animation, Pixar, Marvel and Star Wars. OpenAI said the deal also allows ChatGPT Images to generate still images from the same licensed material based on text prompts, expanding Disney’s presence across consumer-facing AI tools for the first time.

The agreement does not include the use of actor likenesses or voices, a key distinction as entertainment companies and labor groups remain sensitive to AI’s use of talent. Instead, the license focuses on animated, masked and creature characters, as well as vehicles and recognizable settings tied to Disney’s franchises, according to OpenAI.

“Technological innovation has continually shaped the evolution of entertainment, bringing with it new ways to create and share great stories with the world,” Robert A. Iger, CEO, The Walt Disney Company, said in a statement. “The rapid advancement of artificial intelligence marks an important moment for our industry, and through this collaboration with OpenAI we will thoughtfully and responsibly extend the reach of our storytelling through generative AI, while respecting and protecting creators and their works. 

In parallel with the licensing arrangement, Disney will become a major OpenAI customer, deploying OpenAI’s application programming interfaces to build new internal tools and consumer-facing experiences, including for Disney+. The company will also roll out ChatGPT for employees, OpenAI said.

As part of the transaction, Disney will make a $1 billion equity investment in OpenAI and receive warrants to purchase additional shares, deepening a financial relationship that positions Disney not just as a customer and licensor, but as a long-term stakeholder in the AI company. OpenAI said the deal is subject to final agreements, corporate approvals and customary closing conditions.

Under the license, fans will be able to view curated selections of Sora-generated videos on Disney+, and the companies will collaborate on new AI-powered experiences for Disney+ subscribers. OpenAI said fan-inspired video generation using Disney characters is expected to begin in early 2026.

Characters available for use will include core Disney icons such as Mickey and Minnie Mouse, along with characters from franchises including Frozen, Toy Story, Moana, Encanto, Inside Out and Zootopia. Animated or illustrated versions of Marvel and Lucasfilm characters — including Darth Vader, Iron Man, Captain America, Black Panther and Yoda — will also be included, OpenAI said.

Sam Altman, co-founder and CEO of OpenAI, said,“This agreement shows how AI companies and creative leaders can work together responsibly to promote innovation that benefits society, respect the importance of creativity, and help works reach vast new audiences.”

Both companies emphasized a shared commitment to safety and rights protections. OpenAI said it will apply age-appropriate safeguards, content moderation controls and protections against illegal or harmful outputs, while maintaining restrictions on voice and likeness generation. Disney and OpenAI also affirmed that the agreement is designed to respect the rights of creators and content owners.

Image credit: OpenAI

Greg Bock
About the author
Greg Bock

Greg Bock is an award-winning investigative journalist with more than 25 years of experience in print, digital, and broadcast news. His reporting has spanned crime, politics, business and technology, earning multiple Keystone Awards and a Pennsylvania Association of Broadcasters honors. Through the Associated Press and Nexstar Media Group, his coverage has reached audiences across the United States.

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