Legal documents uncovered by Bloomberg indicate that most of the employees targeted by the offer have already accepted. This arrangement functions as a stalking horse bid, leaving the door open for other companies to submit higher offers for the startup’s assets. The acquisition follows the appointment of former Character.AI CEO Karandeep Anand as Disney’s first Chief Technology Officer and a prior agreement to purchase specific assets for $20 million.
Disney moves to absorb bulk of Character.AI workforce
Following the bankruptcy filing of chatbot startup Character.AI, Disney has moved to secure its core talent pool. The entertainment giant has committed to making employment offers to at least 60 members of the startup’s staff, accounting for the majority of the company's workforce and an estimated $60 million in annual payroll.
Character.AI struggled to maintain financial stability despite a large user base, citing heavy operational costs and mounting legal pressures. The company is currently defending itself against a lawsuit from the mother of a 14-year-old who died by suicide after interacting with a chatbot, alongside ongoing government investigations regarding child safety standards.
Comments (0)
No comments yet. Be the first!