Disney picks Adobe as its new AI and price-hike partner

In a surprising move, Disney has named Adobe, the creator of Creative Cloud, as its new "Official AI Innovation Partner." This alliance is aimed at fostering "responsible AI development," supporting creative professionals, and thoughtfully integrating AI into artistic endeavors and guest engagement. This development adds to Disney's ongoing journey towards an AI-driven future.

Just last month, Disney inked a deal worth $20 million to acquire the core of Character.ai, a company that had previously been sued by Disney for copyright violations and promoting self-harm. Despite the company's increasing reliance on AI, it has faced challenges. Adobe subscribers recently voiced discontent over price hikes for diminishing services, leading to the creation of "vibe-coded" unauthorized versions of Adobe's software, which, while cheaper, lack functionality.

This strategic partnership with Adobe comes at a challenging time for AI, with recent events such as the U.S. midterm elections revealing public reluctance towards AI-related power plants, and Nvidia CEO Jensen Huang admitting to an extramarital affair with a woman suspected of being a Chinese spy. As AI stocks face a decline and its proponents acknowledge the potential for human extinction due to their innovations, companies like Disney and Adobe are increasingly considering synergistic collaborations, suggesting that even in a challenging AI landscape, financial gains might be attainable.