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The Verge — AI

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Character.AI files for bankruptcy

Character.AI, one of the first breakout startups of the generative AI boom, has filed for bankruptcy and is selling some of its assets to Disney. The company, which builds various online bots for users to chat or roleplay with, has faced mounting scrutiny and lawsuits over the…

The Verge — AIBy: Robert HartOctober 13, 2026 (Oct 13)
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AI Summary & Key Takeaways

  • Character.AI, one of the first breakout startups of the generative AI boom, has filed for bankruptcy and is selling some of its assets to Disney
  • The company, which builds various online bots for users to chat or roleplay with, has faced mounting scrutiny and lawsuits over the…
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Character.AI files for bankruptcy

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