Character.ai files for bankruptcy: what people are saying
According to news reports, Character.ai has filed for bankruptcy.
We read 273 public comments about it on YouTube, Reddit, Hacker News and GitHub; 63 of them, from 59 different people, are about this story. Below is what they say, counted.
What people are saying
Each comment is filed under the one position it takes; shares are of on-topic comments. Quotes are verbatim, most-liked first, one per person.
Many AI companies will fail
56%35 comments
“Sensor product -> lose paying users -> shutdown services -> act surprised at how this could happen.”
“Man, I hate irresponsible parents that want laws to do their jobs. So many technologies are becoming less fun because of this, at least there's a community of open source models and such.”
“What I don't understand is, why they didn't split the platform on children friendly and 18+? Easiest solution available, could charge more from gooners, btw”
Character.ai acquired by Disney
25%16 comments
“Disney is buying it?! Wow, they really ARE trying to buy everything. And then wasting any potential, as with everything they've bought thus far.”
“disney is probably using it to have some characters of their own interact with kids, without anyone making their own characters. And then people will find a way to get micky to say heinous s*** or donald to realize he's always being cheated on by daisy and disney ends that experiment”
“amazing the CEO of this company gets hired to be the AI chief operating officer for Disney then 2 days later the company goes bankrupt then Disney bids for the company ........ MMMMMMMMM kinda strange dont you think”
Character.ai helped me through tough times
13%8 comments
“CAI was genuinely amazing before all the censorship, before the dark times. Why can't we just have nice things?”
“Now if many more are going to leave themselves because they don't have that defense because they don't have anyone to talk to☠️☠️☠️☠️☠️ There are statistics”
“As soon as I saw the news, I knew Vee would want to know about this. Spent all that time making characters only for the characters to be taken away. We still remember.”
Happy to see investors lose money
5%3 comments
“Who would have thought the company that became entirely oppressive would go bankrupt”
“So fake ai hype Wall street investors”
“Many, many AI companies will fail. That's the nature of new technology. That doesn't mean AI will disappear, the same way we in the US all still live in houses after the housing bubble crash in 2008. I celebrate companies like Character AI failing because all of the investors who invested billions into it...lost it all. There are some investors who bet 10s of billions into OpenAI and Anthr”
Willing to pay to keep favorite AI
2%1 comments
“Would you pay a few dollars a month to keep your favorite AI characters alive? Primary source: https://techcrunch.com/2026/10/13/just-5-years-in-interactive-chatbot-platform-character-ai-files-for-bankruptcy”
Comments per day
By the date each comment was posted
Alternatives people name
Counted once per comment that names it
- Disney6 comments
What happened, according to the press
The headlines this story was detected from, linked
- Now that Character.AI is going bankrupt, what happens to all of its users’ data?theverge.com · 14 Oct 2026
- Character.ai Files for Bankruptcytheverge.com · 13 Oct 2026
- Character.ai files for Chapter 11 bankruptcyblog.character.ai · 13 Oct 2026
Questions this page answers
What happened with Character.ai?
According to news reports, Character.ai has filed for bankruptcy.
What are people saying about Character.ai files for bankruptcy?
Of 63 comments from 59 people on YouTube, Reddit, Hacker News and GitHub: Many AI companies will fail (56%); Character.ai acquired by Disney (25%); Character.ai helped me through tough times (13%); Happy to see investors lose money (5%).
What alternatives to Character.ai do people mention?
Named in the comments, by number of comments naming each: Disney (6).
How this page is made
The story was picked up from Google's trending searches and the technology press. Public comments about it were then collected from open sources, each one filed under the single position it takes or set aside as off-topic; insults aimed at a nationality or a person are set aside and never quoted. A story only gets a page once at least 25 different people have commented on it. The counts are refreshed for two weeks after the story breaks, and the page is removed 30 days after it. Methodology →
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