Disney and Universal Sue AI Firm Midjourney for Copyright Infringement

Published Date : 12/06/2025 

Disney and Universal Studios have launched a lawsuit against AI firm Midjourney, alleging that the company’s image generator is a ‘bottomless pit of plagiarism’ of their copyrighted characters. 

Disney and Universal Studios are suing artificial intelligence (AI) firm Midjourney over its image generator, which the Hollywood giants allege is a 'bottomless pit of plagiarism'. The two studios claim that Midjourney's tool makes 'innumerable' copies of characters including Darth Vader from Star Wars, Frozen's Elsa, and the Minions from Despicable Me. This lawsuit is part of the entertainment industry's ongoing struggle to balance the potential benefits and risks of AI technology.

The lawsuit, filed in federal district court in Los Angeles, provides specific examples of Midjourney-generated images that include Disney characters such as Star Wars' Yoda, Marvel's Spiderman, the Incredible Hulk, and Iron Man. Disney's chief legal officer, Horacio Gutierrez, expressed optimism about the responsible use of AI to enhance human creativity. However, he emphasized that 'piracy is piracy, and the fact that it's done by an AI company does not make it any less infringing.'

According to the complaint, Midjourney made $300 million (£221 million) last year alone and is planning to release a video service soon. Syracuse University law professor Shubha Ghosh commented, 'A lot of the images that Midjourney produces just seem to be copies of copyright characters that might be in new locations or with a new background. It doesn't seem like they're being transformed in a creative or imaginative way.' Ghosh added that copyright law recognizes that creativity can build on other works, provided it adds something new.

Randy McCarthy, head of the IP Law Group at US law firm Hall Estill, noted, 'No litigation is ever a slam dunk, and that is true for Disney and Universal in this case. There are several issues such as terms of service provisions by Midjourney, and basic fair use analysis, that will need to be sorted out by the court before we can determine the likely outcome.'

Midjourney, a San Francisco-based startup, describes itself as 'an independent research lab' with a small self-funded team of fewer than a dozen full-time staff. The firm is run by David Holz, who previously founded Leap Motion, a hardware sensor company. Midjourney lists former GitHub CEO Nat Friedman and Philip Rosedale, founder of Second Life, among its advisors.

Hollywood has a complex relationship with AI, recognizing both its potential benefits and risks. Just two years ago, actors and writers went on strike to demand protections against new technology. Today, AI is increasingly used in TV, films, and video games. Two movies competing at the Oscars, 'Emilia Perez' and 'The Brutalist,' used AI to alter voices. The technology has also been employed to de-age actors like Tom Hanks and Harrison Ford.

The lawsuit highlights the ongoing debate in the entertainment industry about the ethical and legal boundaries of AI. As AI continues to evolve, it is likely that more legal challenges will arise, forcing companies and creators to navigate the complex landscape of intellectual property and technological innovation. 

Frequently Asked Questions (FAQS): 

Q: What is the main reason Disney and Universal are suing Midjourney?

A: Disney and Universal are suing Midjourney because they claim the AI firm's image generator is creating innumerable copies of their copyrighted characters, constituting plagiarism.

Q: How much revenue did Midjourney reportedly generate in the past year?

A: Midjourney reportedly generated $300 million (£221 million) in the past year.

Q: What is the stance of Disney's chief legal officer on the use of AI?

A: Disney's chief legal officer, Horacio Gutierrez, is optimistic about the responsible use of AI to enhance human creativity, but emphasizes that piracy remains a serious issue.

Q: What are some of the legal issues that will be considered in this lawsuit?

A: The legal issues that will be considered include terms of service provisions by Midjourney and basic fair use analysis.

Q: How is AI currently being used in the entertainment industry?

A: AI is being used in the entertainment industry to alter voices in movies, de-age actors, and in various other creative applications in TV, films, and video games. 

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