Character.ai files for Chapter 11 and says the platform will close if no buyer appears

Character.ai said it has begun a voluntary Chapter 11 case to run a court-supervised sale of its business. Its own post says the platform stays up for now, and that if no acceptable bid emerges it will be wound down. CNBC reports Disney agreed to be the opening bidder, licensing some of the company's intellectual property for $20 million, and that the company cited high costs and legal and regulatory pressure.

• If a team member or a customer-facing feature uses Character.ai, keep a copy of the character prompts and any content you made, and pick a replacement now rather than after a shutdown.
• For any AI tool you depend on, note where your data and prompts live and how to export them, so a closure or sale does not stop your work.

Source: CNBC. This is our short summary of their reporting. The paragraphs marked "Our read" and the things to do are SeedFoundry's opinion. The summary is drafted with AI tools. Image: Character.ai, from its own announcement. How we source and credit