AI startup faces lawsuit from Disney and Universal

Despite warnings, Midjourney reportedly ignored copyright concerns and continued upgrading its image service, prompting legal action from Disney and Universal.

Despite receiving warnings, Midjourney allegedly disregarded copyright concerns and proceeded with upgrades to its image-generation service, leading to legal action from Disney and Universal.

Two of Hollywood’s most powerful studios, Disney and Universal, have launched a copyright infringement lawsuit against the AI firm Midjourney, accusing it of illegally replicating iconic characters.

The studios claim the San Francisco-based company copied their creative works without permission, describing it as a ‘bottomless pit of plagiarism’.

Characters such as Darth Vader, Elsa, and the Minions were cited in the 143-page complaint, which alleges Midjourney used these images to train its AI system and generate similar content.

Disney and Universal argue that the AI firm failed to invest in the creative process, yet profited heavily from the output — reportedly earning $US300 million in paid subscriptions last year.

Despite early attempts by the studios to raise concerns and propose safeguards already adopted by other AI developers,

Midjourney allegedly ignored them and pressed ahead with further product releases. The company, which calls itself a small, self-funded team of 11, has declined to comment on the lawsuit directly but insists it has a long future ahead.

Disney’s legal chief, Horacio Gutierrez, stressed the importance of protecting creative works that result from decades of investment. While supporting AI as a tool for innovation, he maintained that ‘piracy is piracy’, regardless of whether humans or machines carry it out.

The studios are seeking damages and a court order to stop the AI firm from continuing its alleged copyright violations.

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