Sora users can legally make fan edits of themselves swimming next to Ariel, Disney’s mermaid celebrity, under a $1 billion deal that the entertainment giant announced yesterday with OpenAI.

Disney needed a hedge on the future of AI.

The pact makes Disney DIS the first major content partner with Sora, OpenAI’s short-form clip generating platform, and will give users the ability to create their own videos using characters ranging f...