In what may prove to be a milestone move for major Hollywood studios, Disney has decided to partner with OpenAI and invest $1 billion in the Sam Altman-run artificial intelligence juggernaut as well as ink a licensing deal that would allow users of its AI video creation platform Sora to create clips using iconic characters from Marvel, Pixar and Star Wars franchises.
The deal signals that studios may look to embrace, rather than fight, AI startups that already allow users to infringe on their intellectual property. By this thinking, at least Hollywood companies are able to monetize their IP with lucrative licensing deals rather than see their businesses entirely disrupted with nothing to show for it. Whether that ultimately destabilizes the production and content creation side of the entertainment industry may be the big question.
For now short-form video creation is the deal of the day and Disney+ will now allow “fan-inspired Sora short form videos” on its platform, a product add that studio chief Bob Iger hinted at on a November 13 earnings call. In examples, Disney included images of a fan with a lightsaber in Star Wars garb, another fan surfing on a big wave with Stitch at the edge of the surfboard and another fan at the starting line of a race next to a Pixar vehicle from Cars.
The move immediately may start to legitimize Sora around the industry, given Disney’s brand-cautious approach. It’s an about-face from the scorn and hostility that Sora faced upon its late October invite-only launch, where Altman’s product debuted features — like allowing users to create videos using celebrities likenesses to have them say or do whatever a user liked — before walking back those features after backlash. At the time, all of Hollywood’s major talent agencies were particularly vocal about the destructive elements of Sora and WME, CAA and UTA signaled that they stood with their clients against the exploitative product.
“Technological innovation has continually shaped the evolution of entertainment, bringing with it new ways to create and share great stories with the world,” stated Bob Iger in unveiling the deal. “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. Bringing together Disney’s iconic stories and characters with OpenAI’s groundbreaking technology puts imagination and creativity directly into the hands of Disney fans in ways we’ve never seen before, giving them richer and more personal ways to connect with the Disney characters and stories they love.”
“Disney is the global gold standard for storytelling, and we’re excited to partner to allow Sora and ChatGPT Images to expand the way people create and experience great content,” said Sam Altman, co-founder and CEO of OpenAI. “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.”
More to come.
