Tech
A screenshot from the complaint. (Source: PACER)
A screenshot from the complaint (Source: PACER)

Disney, NBCUniversal sue AI image generation startup Midjourney for copyright infringement

A new lawsuit accuses Midjourney of being a “bottomless pit of plagiarism,” infringing the copyright of dozens of the most valuable characters from Marvel, Disney, Pixar, and DreamWorks.

Jon Keegan

Midjourney, the early AI image generation startup, is being sued by Disney and NBCUniversal on allegations of copyright infringement.

This is a significant case with huge consequences for the AI industry, as its the first to challenge this type of alleged AI-generated image copyright violation. Big Tech companies like OpenAI, Google, Meta, and Microsoft all offer some form of generative-AI image creation via chatbots.

The 110-page complaint is littered with what Disney and NBCUniversal say are clear examples of their characters being generated via Midjourney:

  • Darth Vader, Stormtroopers (“Star Wars”)

  • DreamWorks’ Minions, Shrek, and Po (Kung Fu Panda”)

  • Marvel’s Spider-Man, Iron Man, The Hulk

  • Pixar’s Buzz Lightyear (“Toy Story”), Wall-E, and Lightning McQueen (“Cars”)

  • Disney’s Simpsons, Ariel (“The Little Mermaid”), Elsa (Frozen), Aladdin, and Mufasa (The Lion King)

The complaint includes specific prompts that were used to generate the examples like:

“Darth Vader walking around the Death Star with a red lightsaber”

A screenshot from the complaint
A screenshot from the complaint.

The list of examples included in the document covers some of the most recognizable, highest-grossing intellectual property from the past 50 years of American pop culture.

The plaintiffs call Midjourney “a bottomless pit of plagiarism,” writing in the complaint:

By helping itself to Plaintiffs’ copyrighted works, and then distributing images (and soon videos) that blatantly incorporate and copy Disney’s and Universal’s famous characters — without investing a penny in their creation — Midjourney is the quintessential copyright free-rider and a bottomless pit of plagiarism. Piracy is piracy, and whether an infringing image or video is made with AI or another technology does not make it any less infringing.

The complaint also says that Midjourney charges between $10 and $120 per month for subscriptions to the service, that the company did not respond to letters from Disney alerting it of the alleged copyright violations, and that after acknowledging the letter, Midjourney did not respond.

More Tech

See all Tech
tech

Amazon closes at all-time high

Fresh off strong earnings Thursday, Amazon saw its stock price end the week at a record closing high of $244.22.

The stock is up 10% so far this year.

The e-commerce and cloud giant beat analysts’ revenue and earnings, and its massive gain was responsible for more than all of the positive return delivered by the SPDR S&P 500 ETF on Friday.

tech

Google uses an AI-generated ad to sell AI search

Google is using AI video to tell consumers about its AI search tools, with a Veo 3-generated advertisement that will begin airing on TV today. In it, a cartoonish turkey uses Google’s AI Mode to plan a vacation from its farm before it’s eaten for Thanksgiving.

Like other AI ad campaigns that have opted to depict yetis or famous artworks rather than humans, Google chose a turkey as its protagonist to avoid the uncanny valley pitfall that happens when AI is used to generate human likenesses.

Google’s in-house marketing group, Google Creative Lab, developed the idea for the ad — not Google’s AI — but chose not to prominently label the ad as AI, telling The Wall Street Journal that consumers don’t actually care how the ad was made.

Google’s in-house marketing group, Google Creative Lab, developed the idea for the ad — not Google’s AI — but chose not to prominently label the ad as AI, telling The Wall Street Journal that consumers don’t actually care how the ad was made.

tech
Rani Molla

Amazon, Alphabet, Meta, and Microsoft combined spent nearly $100 billion on capex last quarter

The numbers are in and tech giants Amazon, Alphabet, Meta, and Microsoft spent a whopping $97 billion last quarter on purchases of property and equipment. That’s nearly double what it was a year earlier as AI infrastructure costs continue to balloon and show no sign of stopping. Amazon, which reported earnings and capital expenditure spending that beat analysts’ expectations yesterday, continued to lead the pack, spending more than $35 billion on capex in the quarter that ended in September.

Note that the data we’re using here is from FactSet, which strips out finance leases when calculating capital expenditures. If those expenses were included the total would be well over $100 billion last quarter.

Latest Stories

Sherwood Media, LLC produces fresh and unique perspectives on topical financial news and is a fully owned subsidiary of Robinhood Markets, Inc., and any views expressed here do not necessarily reflect the views of any other Robinhood affiliate, including Robinhood Markets, Inc., Robinhood Financial LLC, Robinhood Securities, LLC, Robinhood Crypto, LLC, or Robinhood Money, LLC.