On 11th December 2025, The Walt Disney Company and OpenAI reached an agreement for Disney to become the first major content licensing partner on Sora, OpenAI's short-form video generator. Disney will make a $1 billion equity investment in OpenAI and receive warrants to purchase additional equity, whilst the three-year licensing agreement enables Sora to generate short, user-prompted social videos drawing on more than 200 Disney, Marvel, Pixar and Star Wars characters.
The three-year licensing agreement allows Sora to generate short, user-prompted social videos from more than 200 animated, masked and creature characters from Disney, Marvel, Pixar and Star Wars, including costumes, props, vehicles and iconic environments, with ChatGPT Images also able to turn user prompts into fully generated images in seconds using the same intellectual property. The agreement excludes any talent likenesses or voices, addressing concerns about unauthorised use of human performers. Disney will become a major customer of OpenAI, using its APIs to build new products, tools and experiences, including for Disney+, and deploying ChatGPT for its employees, whilst a selection of fan-inspired Sora short-form videos will be available to stream on Disney+. Sora and ChatGPT Images are expected to start generating fan-inspired videos with Disney's multi-brand licensed characters in early 2026.
Disney's $1 billion equity investment in OpenAI represents a significant financial commitment that extends beyond traditional licensing arrangements, positioning the entertainment giant as both a content partner and investor in AI technology. The three-year agreement covering more than 200 characters establishes a framework for fan engagement whilst Disney and OpenAI affirm a shared commitment to responsible use of AI that protects the safety of users and the rights of creators. This partnership marks a notable shift for Disney, which has sued the generative AI platform Midjourney for ignoring requests to stop violating its intellectual property rights, demonstrating how major content owners are now pursuing controlled licensing strategies rather than solely relying on enforcement actions against unauthorised AI use.
Sources:
https://openai.com/index/disney-sora-agreement/
https://www.npr.org/2025/12/11/nx-s1-5640837/disney-openai-sora-deal
https://techcrunch.com/2025/12/11/disney-signs-deal-with-openai-to-allow-sora-to-generate-ai-videos-featuring-its-characters/
