Character.ai files for Chapter 11 bankruptcy protection; Disney plans to acquire partial asset rights for $20 million.

PANews October 13 news: Character.ai announced that it has filed for Chapter 11 bankruptcy protection in Delaware, United States, to advance the sale of all or substantially all of its assets. A Disney subsidiary has agreed to acquire a non-exclusive perpetual license to certain intellectual property and related claims for $20 million plus transition services, as the initial bidder, and the transaction remains subject to higher offers. The sale is expected to be completed by the end of November or early December. During this period, the platform plans to continue operating; if no buyer is found to support the platform's continued operation, it will be gradually shut down.