In case you couldn’t tell, the House of Mouse was in on Character.AI’s bankruptcy from the start.

Wiredreports that Characterfiling for bankruptcyand agreeing to sell assets to Disney last week was the second of “two interrelated and integrated” transactions. The first, which took place in September, involved Disneyhiringa “majority” of the chatbot startup’s employees, a familiar move from the“acquihire” playbook. A free daily digest of the news that matters most.