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Disney and Universal sue AI company Midjourney over image use

ByHilary Ong

Jun 15, 2025

Disney and Universal sue AI company Midjourney over image use

Disney and Universal have taken legal action against AI company Midjourney, accusing its image generation tool of being a “bottomless pit of plagiarism.”

The studios claim Midjourney’s software produces countless copies of iconic characters such as Darth Vader from Star Wars, Elsa from Frozen, and the Minions from Despicable Me.

Hollywood faces a complex relationship with AI technology—keen to leverage its potential but concerned about the unauthorized use of their intellectual property.

Midjourney’s tool creates images based on text prompts entered by users, which allegedly replicate copyrighted characters.

Lawsuit Details and Financial Stakes

In a lawsuit filed in Los Angeles federal court, the studios provided examples of AI-generated images featuring Disney characters including Yoda, Spider-Man, the Hulk, and Iron Man.

Disney’s Chief Legal Officer, Horacio Gutierrez, expressed optimism about responsible AI use but made clear: “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 earned $300 million last year and is preparing to launch a video service.

Syracuse University law professor Shubha Ghosh criticized Midjourney’s output as unoriginal, saying many images appear to be simple copies placed in new contexts without creative transformation.

Copyright law allows for creative works that build upon others but requires that they add something new.

Randy McCarthy, head of the IP Law Group at Hall Estill, noted the complexity of such cases: “No litigation is ever a slam dunk… Terms of service and fair use will play a critical role in the court’s decision.”

About Midjourney

The San Francisco-based startup describes itself as a “small self-funded team” with fewer than a dozen full-time employees.

Founded by David Holz, known for Leap Motion, the company counts former GitHub CEO Nat Friedman and Second Life creator Philip Rosedale among its advisors.

Hollywood’s stance on AI is evolving. Just two years ago, strikes halted productions amid calls for protections against new technologies.

Now AI is used widely in TV, film, and gaming—altering voices in Oscar-nominated movies like Emilia Perez and The Brutalist, and enabling digital de-aging effects for stars such as Tom Hanks and Harrison Ford.

What The Author Thinks

AI tools like Midjourney offer exciting possibilities for creativity, but the industry must establish clear rules to protect original creators’ rights. Without responsible regulation, AI risks becoming a vehicle for widespread copyright infringement, undermining the value of human artistry.


Featured image credit: daryl_mitchell via Flickr

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Hilary Ong

Hello, from one tech geek to another. Not your beloved TechCrunch writer, but a writer with an avid interest in the fast-paced tech scenes and all the latest tech mojo. I bring with me a unique take towards tech with a honed applied psychology perspective to make tech news digestible. In other words, I deliver tech news that is easy to read.

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