GoKawiilCharacter.AI files for Chapter 11 bankruptcy, Disney offers $20M as lead bidder
Character.AI, the chatbot-creation startup, has filed for Chapter 11 bankruptcy to facilitate a sale of its assets, listing liabilities between $50 million and $100 million. Disney has been named the lead 'stalking horse' bidder at $20 million, with higher offers still possible before a sale expected to close by early December. Character.AI's services will keep running during the process but could shut down if no buyer emerges.