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.

According to Disney and Universal’s lawsuit, Midjourney made $300 million last year. The AI company boasts the world’s largest Discord server at more than 21 million members (Viggle.ai is in second place with around 4.

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.