The entertainment giants Walt Disney (NYSE: DIS), Universal Pictures (part of Comcast, NASDAQ: CMCSA), and Warner Bros. Discovery (NASDAQ: WBD) have joined forces in a legal battle against Shanghai-based AI firm MiniMax over allegations of copyright infringement. The studios filed the lawsuit in a California federal court last week, targeting MiniMax’s AI-driven platform Hailuo AI, which they claim generates images and videos using the studios’ iconic characters without permission.
At the core of the dispute is MiniMax’s Hailuo AI, an app promoted as a “Hollywood studio in your pocket.” The platform allows users to create custom videos and images featuring well-known figures such as Spider-Man, Superman, Darth Vader, the Minions, Wonder Woman, and more. The studios argue that this service not only exploits their intellectual property on a massive scale, but it does so openly, with MiniMax branding the AI-generated content under its own name. According to the complaint, Hailuo AI advertises itself via promotions that invite users to generate videos starring these copyrighted characters, effectively encouraging infringement.
The lawsuit accuses MiniMax of willfully ignoring U.S. copyright law, accusing the company of operating a business model built on unauthorized use of valuable creative works. Examples included in the suit show a range of character images and videos that replicate the studios’ intellectual property exactly, while also carrying the Hailuo AI logo. The studios highlight that users can download and share these creations freely, bypassing traditional licensing and the protections that normally govern commercial use of such content. They warn that with the rapid pace of AI-generated video technology, it is only a matter of time before longer, even movie-length unauthorized videos featuring these characters could be produced.
This case is the latest chapter in a wider struggle between Hollywood and AI content creators over intellectual property rights. Earlier this year, Disney and Universal filed a similar lawsuit against Midjourney, a prominent AI image generator, with Warner Bros. Discovery also suing Midjourney separately. The legal actions reflect the entertainment industry’s growing unease about the potential for AI technologies to replicate copyrighted characters and content without compensating rights holders or creators.
MiniMax, valued at approximately $4 billion and reportedly planning an initial public offering, is a prominent player among Chinese AI companies, sometimes referred to as one of China’s ‘Six Tigers’ in the AI sector. Despite cease-and-desist orders from the studios, the company allegedly continued its activities without implementing reasonable safeguards to prevent copyright violations. The studios argue that MiniMax’s approach not only undermines the creative efforts of countless artists but also threatens the broader American film industry, which supports millions of jobs and generates significant economic activity.
Damage claims in the lawsuit include statutory damages up to $150,000 per infringement, along with legal fees and costs. The studios also seek an injunction to stop MiniMax from continuing their alleged unauthorized use of the studios’ copyrights. In their joint statement, Disney, Universal, and Warner Bros. Discovery emphasized their commitment to protecting creative contributions and ensuring that innovation in AI respects existing intellectual property rights.
The rise of AI-generated content presents complex challenges for copyright law, balancing technological progress against the rights of original creators. While some entertainment companies explore partnerships with AI to assist in production and creative workflows, others are stepping up legal pressure when they see their core intellectual property at risk. As AI capabilities advance, this legal conflict signals that Hollywood is determined to shape the rules governing what AI can do with its creative assets.
MiniMax has not publicly responded to the lawsuit as of now. This case will be closely watched for its potential impact on the future of AI in the media and entertainment industries. The outcome could influence how AI firms design content-generation tools and how copyright protections are enforced in an increasingly digital and automated creative landscape.
