Character.AI

Companion-chatbot company, in bankruptcy in 2026.

Everything Warning Shots has on Character.AI, newest first: incidents scored on the record, forecasts, the week's power moves and every Wire story, each linked to its source. Updated on every refresh.

1incidents on the record

3stories on the Wire

1forecasts

51/100worst incident on the record14-year-old dies by suicide after Character.AI bond

Every incident on the record, by date. Taller is worse; red: the AI acted on its own in the real world.

Up & Down

2026-10-23 ▼ Down 31 states and DC object to the rules for selling it out of bankruptcy.
Why it matters: Whoever buys it now inherits 32 attorneys general and their child-safety demands, and that is priced into every bid. Hearing Oct 30.

The full Up & Down board

Forecasts

Will a court approve the rules for selling Character.AI, with Disney's $700,000 break-up fee intact, by Oct 31?
resolves Oct 31, 2026 · our odds: likely

Incidents on the record

2024-02-28 51/100 Serious 14-year-old dies by suicide after Character.AI bond
Mental health & violence · in the real world

On the Wire

2026-10-24 Futurism: Character.AI's suicide and school-shooter bots reached minor decoy accounts as it lost $8-9M a month Futurism
Retrospective after the Chapter 11 filing; revenue peaked at $5.3 million a month per 404 Media's reading of court papers.
2026-10-23 31 states and DC object to Character.AI's sale rules, saying bids above about $15.2M would beat Disney's $20M PPC Land
Objection targets the $700,000 break-up fee, $21.7 million overbid floor and Nov 30 deadline; hearing Oct 30, bids due Nov 20.
2026-10-23 Wisconsin joins states seeking protections for young users in Character.AI's bankruptcy sale UpNorthNews
Wisconsin's attorney general joined other states seeking privacy and safety protections for young users in Character.AI's bankruptcy sale.

Spot an error or something out of date? Tell us; corrections are made and logged. Written with AI assistance from public sources; checked against those sources before publishing. General information, not legal, medical or financial advice.