AI has been Hollywood’s favorite lightning rod all year, and now Disney is officially entering the arena. On the company’s Q4 earnings call, CEO Bob Iger revealed that Disney+ is gearing up for its biggest overhaul since launch — one that includes AI-powered personalization, interactive features, and even tools that allow subscribers to create their own Disney-inspired content.

Iger said Disney has been in “productive conversations” with several leading AI companies as the studio explores how emerging tech can enhance storytelling and deepen consumer engagement. At the same time, he stressed that Disney’s vast library of franchises — from Marvel and Star Wars to Pixar — must remain protected. “We’re seeking to not only protect the value of our IP, our creative engines, but also to seek opportunities for us to use their technology to create more engagement with consumers,” he said.

Inside the company, executives see AI as a tool for both production efficiency and creative experimentation. Iger emphasized that Disney has been working directly with employees and cast members to implement the technology responsibly. “We see opportunities in terms of efficiency and effectiveness by deploying AI,” he noted, adding that any deal with outside partners must reflect Disney’s need to safeguard its brands.

The biggest shift, however, is coming to Disney+. Iger teased sweeping updates “from a product perspective and a technology perspective,” calling it the most significant evolution of the platform since its 2019 debut. Among those upgrades: new “game-like features” developed in partnership with Epic Games, and a major push into user participation.

According to Iger, AI will soon allow subscribers to create short-form, user-generated content directly inside Disney+ — and watch content made by other fans. It’s a bold move that could turn the streamer into a hybrid entertainment hub, part interactive playground, part personalized feed. It also raises the inevitable question of how Disney plans to moderate the use of its most iconic characters once fans are given creative control.

The news comes as Disney+ added 3.8 million subscribers this quarter, with the company planning to invest $1 billion more in content in 2026 than in 2025. For Disney, the message is clear: the next era of streaming won’t just be about what audiences watch — it’ll be about what they make.