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Character.AI Files for Bankruptcy as Disney Bids $20 Million—And Users Get Grief Resources

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Decrypt
By Jose Antonio Lanz
10/13/2026, 9:16:04 PM
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Character.AI Files for Bankruptcy as Disney Bids $20 Million—And Users Get Grief Resources
EXECUTIVE SUMMARY

The chatbot app once valued at $1 billion is up for sale in a Delaware court, two weeks after launching new models. If nobody buys it, it shuts down.

Key Takeaways

  • Character.AI Files for Bankruptcy as Disney Bids $20 Million—And Users Get Grief Resources.
  • The chatbot app once valued at $1 billion is up for sale in a Delaware court, two weeks after launching new models.
  • If nobody buys it, it shuts down.

The chatbot app once valued at $1 billion is up for sale in a Delaware court, two weeks after launching new models. If nobody buys it, it shuts down.

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