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Rohan Paul@rohanpaul_ai
WSJ: Character. ai’s parent filed for Chapter 11 in Delaware and lined up Disney as its opening bidder.
Character Technologies wants to sell most or all of its assets through a court-supervised auction, and expects any sales to close by December.
It filed after failing to steer the business through “significant legal, regulatory and operational headwinds,” chiefly the costly teen self-harm lawsuits (settled this year) and growing scrutiny of how minors used its chatbots.
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