The decision comes after legal concerns raised by entertainment companies, according to a report by The Information citing sources familiar with the situation, News.Az reports, citing Reuters.
Among the companies raising objections is The Walt Disney Company, which reportedly sent a cease-and-desist letter accusing ByteDance of using copyrighted characters to train the AI model without permission.
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The complaint followed viral AI-generated videos circulating in China, including clips featuring actors such as Tom Cruise and Brad Pitt appearing in fictional scenes.
Disney also alleged that the model used a library of copyrighted characters from major franchises, including:
Star Wars
Marvel
The studio argued that these characters were presented as if they were public-domain clip art.
ByteDance officially introduced Seedance 2.0 in February as a tool aimed at film production, e-commerce, and advertising. The model can process text, images, audio, and video simultaneously, allowing users to generate cinematic content from simple prompts.
The technology has drawn comparisons with AI models developed by DeepSeek, which have been positioned as competitors to systems from OpenAI and Anthropic.
Tech figures such as Elon Musk have praised the model’s ability to produce cinematic storylines using minimal prompts.
ByteDance had initially planned to launch the model globally in mid-March, but the company has paused those plans while legal teams review potential intellectual-property issues.
Engineers are reportedly working on additional safeguards to prevent the AI system from generating copyrighted characters or content that could lead to further disputes.


