The lawsuit alleges that Midjourney's AI image- and video-generation technologies "blatantly incorporate and copy Disney's and Universal's famous characters," like Yoda, Shrek and Marvel superheroes.

Disney and Universal sued popular artificial intelligence image-generator Midjourney on Wednesday, marking the first time major Hollywood companies have taken legal action against a maker of generative AI technology that could upend the entertainment industry.

Disney and Universal sue AI image company Midjourney for unlicensed use of 'Star Wars,' 'The Simpsons' and more Disney and Universal joined forces in a lawsuit against artificial intelligence image creator Midjourney, alleging copyright infringement. It is the first AI copyright lawsuit from Hollywood giants.