The Walt Disney Company has entered into a landmark three-year licensing and technology agreement with OpenAI, committing a one-billion-dollar equity investment as part of a broader partnership that brings Disney’s iconic characters to OpenAI’s generative video platform, Sora, and image-generation tools within ChatGPT.
Under the agreement, Disney becomes OpenAI’s first major content licensing partner, allowing fans to generate short-form, user-prompted videos and images using more than 200 animated, masked, and creature characters from Disney, Marvel, Pixar, and Star Wars. The deal does not include actor likenesses or voices, a distinction Disney and OpenAI emphasized as central to protecting performers and complying with existing talent agreements.
Alongside the licensing component, Disney will become a major OpenAI customer, deploying its APIs across Disney business lines, including Disney Plus, and rolling out ChatGPT tools internally to employees. Disney will also receive warrants to purchase additional equity in OpenAI.
Disney CEO Robert A. Iger framed the agreement as an evolution of storytelling rather than a replacement of human creativity. “Technological innovation has continually shaped the evolution of entertainment, bringing with it new ways to create and share great stories with the world,” said Iger. “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.”
OpenAI CEO Sam Altman echoed that positioning, calling Disney “the global gold standard for storytelling” and describing the partnership as a model for how AI companies and creative leaders can collaborate responsibly.
The announcement drew an immediate and closely watched response from SAG AFTRA, which said it will monitor the deal’s implementation to ensure performer protections are upheld. “SAG-AFTRA will closely monitor the deal and its implementation to ensure compliance with our contracts and with applicable laws protecting image, voice, and likeness,” the union said in a statement.
“SAG-AFTRA members are very focused on the rapidly expanding use of intellectual property and individuals’ likenesses and voices by generative A.I. tools, and SAG-AFTRA remains vigilant about any such uses.”
The union acknowledged outreach from both Disney and OpenAI and said the companies have assured SAG AFTRA they will meet contractual and legal obligations to performers while implementing ethical safeguards.
“This comes after months of frank discussions between SAG-AFTRA and OpenAI about the protection of performers,” the statement continued. “The ongoing dialogue reflects a significant commitment to taking SAG-AFTRA members’ concerns into account in the protective measures applied to image, likeness, voice, performance, and intellectual property rights generally.”
SAG AFTRA also tied the announcement to broader concerns about AI platforms and copyright enforcement, aligning itself with Disney’s recent legal actions involving Google. “In addition, we join in the objections raised in Disney’s formal demand letter to Google, putting the company on notice that the mass infringement of copyrighted works must stop,” the union said. “We equally object to the abuse of performers’ images, likenesses, and performances through its systems.”
“When a platform is told that its tools are enabling large-scale copyright infringement and voice and likeness misappropriation, it has an obligation to act quickly and effectively,” the statement added. “SAG-AFTRA expects Google and all AI providers to close these gaps and align their practices with both the law and the rights of performers and all creative talent.”
Disney and OpenAI said fan-inspired videos generated on Sora will begin rolling out in early 2026, with curated selections available to stream on Disney+. The companies also affirmed a shared commitment to age-appropriate controls, trust and safety systems, and protections designed to prevent illegal or harmful content.
The transaction remains subject to final agreements, regulatory approvals, and customary closing conditions. As AI continues to reshape the entertainment landscape, the Disney OpenAI deal is being closely watched by creators, unions, regulators, and media companies as a potential template for how licensed AI storytelling may coexist with human-driven creative work.
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