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Applied AI·October 18, 2026·1 min read

Disney agrees to hire the majority of Character.AI’s workforce

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Disney absorbing most of Character.AI’s team under its new CTO is a clear move to internalize conversational and character AI as core IP, not vendor spend. If you own a large consumer brand or universe, expect pressure to build in-house narrative and persona AI capabilities rather than relying solely on off-the-shelf assistants.