Tuesday, February 17, 2026

ByteDance to Limit AI Tools Following Disney’s Claims of “Virtual Copyright Infringement”

Chinese tech giant ByteDance has committed to enforcing strict restrictions on its video generation model, Seedance 2.0, following legal threats from Disney. Disney accused ByteDance of using “pirated libraries” to train its AI, allowing the creation of hyperrealistic videos featuring iconic characters from Marvel and Star Wars. This issue escalated into a formal legal dispute when Disney demanded an immediate halt to copyright violations, describing the AI tool’s impact as a “virtual devastation” to its intellectual property rights. Other film studios like Paramount Skydance and the Motion Picture Association have echoed these concerns, advocating against the reproduction of major studio-owned content. In response, ByteDance announced plans to enhance safeguards to prevent unauthorized use of personalities and brands in Seedance 2.0, as concerns of copyright infringement prompt international investigations, including one from Japan regarding anime characters. The situation highlights the ongoing challenges in protecting intellectual property in the age of AI technology.

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