Character.AI to Settle State Lawsuits Over Teen Suicide After $2.7B Google Agreement
Character.AI agreed to mediated settlements with families in Florida, Colorado, New York and Texas over alleged chatbot-related harm to minors, including a 14-year-old’s suicide; terms remain undisclosed. Litigation resolution follows Character.AI’s 2024 $2.7 billion licensing deal with Google and its founders’ return, potentially exposing it to undisclosed liabilities, risking valuation.
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