The Walt Disney Company is escalating its fight against generative artificial intelligence, alleging that ByteDance, the parent company of TikTok, is utilizing its copyrighted characters without permission to power its latest AI video creation platform, Seedance 2.0. Disney sent a cease-and-desist letter to ByteDance, claiming the platform operates with “a pirated library of Disney’s copyrighted characters” – including icons from Star Wars, Marvel, and other franchises – effectively treating intellectual property as public domain content. This legal action underscores the growing tension between Hollywood and AI developers as the technology rapidly advances.
The dispute centers on Seedance 2.0, launched this week, which allows users to generate videos using text prompts. The tool quickly gained attention – and sparked controversy – after users created highly realistic deepfakes featuring copyrighted characters and scenarios, such as a Tom Cruise versus Brad Pitt fight and alternative endings to the series Stranger Things. Disney’s legal team argues that ByteDance’s actions represent a “virtual smash-and-grab” of its intellectual property, a claim detailed in a letter first reported by Axios.
Disney Cites Specific Examples of Copyrighted Characters
The cease-and-desist letter, obtained by Axios, reportedly includes examples of Seedance 2.0 videos featuring characters like Spider-Man, Darth Vader, and Peter Griffin. Disney’s counsel wrote that ByteDance is “hijacking Disney’s characters by reproducing, distributing and creating derivative works featuring those characters,” according to The Wrap. The entertainment giant views this as a deliberate and unacceptable infringement of its copyright.
This isn’t Disney’s first foray into legal battles surrounding AI, and copyright. In September, the company sent a cease-and-desist letter to Character.AI over similar concerns regarding unauthorized use of its characters. Later, Disney accused Google of copyright infringement when training its AI models, as reported by multiple sources including Deadline. However, Disney has also explored collaborative avenues, entering into a three-year licensing agreement with OpenAI that allows the AI company to utilize Disney’s intellectual property for image and video generation.
Broader Industry Concerns and SAG-AFTRA’s Response
Disney’s legal action against ByteDance is part of a wider wave of concern from the entertainment industry regarding the rapid development of generative AI. The Motion Picture Association (MPA) previously called on ByteDance to “immediately cease its infringing activity,” stating that Seedance 2.0 engaged in “unauthorized use of U.S. Copyrighted works on a massive scale.” SAG-AFTRA, the actors’ union, has also condemned the platform, arguing that it disregards law, ethics, and the rights of its members. “The infringement includes the unauthorized use of our members’ voices and likenesses,” a SAG-AFTRA spokesperson said, as noted in Times Now News.
The Human Artistry Campaign, whose members include SAG-AFTRA and the Directors Guild of America (DGA), labeled Seedance 2.0 “an attack on every creator around the world,” arguing that “stealing human creators’ work in an attempt to replace them with AI-generated slop is destructive to our culture.”
What’s Next for Seedance 2.0 and AI-Generated Content?
The legal battle between Disney and ByteDance is likely to set a precedent for how copyright law will be applied to AI-generated content. The outcome could significantly impact the development and deployment of similar AI tools and influence the negotiation of licensing agreements between AI companies and content creators. The core question remains: how can innovation in AI be balanced with the protection of intellectual property rights? As AI video generation technology continues to evolve, expect further legal challenges and industry debate surrounding copyright and fair use.
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