Federal Judge Blocks OpenAI From Using ‘Cameo’ Name

A federal judge in California has temporarily blocked OpenAI from using the word 'Cameo' to describe one of its artificial intelligence video features, marking a significant legal setback for the company as it faces mounting challenges over its video generation technology.

The ruling came after Cameo, a Chicago-based platform where people purchase personalized videos from celebrities, sued OpenAI over trademark infringement. The judge granted Cameo's motion for a preliminary injunction in an order filed over the weekend, preventing OpenAI from continuing to use the name for its new video feature that allows people to create virtual likenesses of themselves and celebrities.

The legal battle shows the growing tension between artificial intelligence companies and established businesses as AI reshapes how digital content is created and distributed. It also highlights how quickly AI technology is outpacing existing legal frameworks designed to protect intellectual property and brand names.

Background

Cameo built its business model around connecting fans with celebrities who create custom video messages. The platform has become a popular way for people to purchase personalized greetings from their favorite actors, musicians, athletes and other public figures. Users pay for these videos, which feature real celebrities recording genuine messages.

OpenAI introduced its Sora video generation tool in late September 2025, launching Sora 2 as a fully consumer-facing application that could create realistic videos with synchronized sound and dialogue. The product became an immediate sensation, reaching more than one million downloads faster than ChatGPT and topping the U.S. App Store within days of its release.

As part of Sora's features, OpenAI created a video generation capability that it called 'Cameo.' This feature allowed users, including celebrities, to generate AI videos featuring virtual likenesses of themselves and other public figures. OpenAI even partnered with celebrities like Jake Paul, Mark Cuban, Ricky Berwick and Snoop Dogg to promote the feature.

Key Details

Cameo filed its lawsuit after discovering that OpenAI's use of the name could confuse consumers into thinking OpenAI's product was associated with the legitimate celebrity video platform. The company raised concerns that its brand would become linked to what it described as artificial intelligence-generated content and deepfakes, rather than the authentic celebrity videos that form the core of Cameo's business.

"The two products may be indistinguishable to the consuming public," the judge's order stated, noting that both platforms feature the same celebrities.

Cameo also argued that OpenAI had adopted its marketing strategy by recruiting the same celebrities to promote the AI video generator. This overlap created genuine confusion risk in the marketplace, the company claimed.

OpenAI has pushed back against the allegations. A company spokesperson said the organization disagreed with Cameo's assertion that anyone could claim exclusive ownership over the word 'cameo,' a term that has existed in common usage for centuries to describe a small distinctive role or appearance.

"We disagree with the complaint's assertion that anyone can claim exclusive ownership over the word 'cameo', and we look forward to continuing to make our case," the spokesperson said.

The judge's decision to grant the preliminary injunction means OpenAI must stop using the 'Cameo' name immediately while the case proceeds through the courts. OpenAI has already begun renaming the feature to 'Characters' across its platform.

The Broader Context

This trademark dispute comes as OpenAI faces multiple legal challenges related to its video generation technology. Hollywood studios have raised serious concerns about copyright infringement, arguing that Sora may have been trained on copyrighted material without permission. Major studios including Warner Brothers, Disney and Universal Pictures have already sued other AI companies like Midjourney and Minimax over similar issues.

When Sora 2 first launched, users quickly discovered they could generate videos of recognizable copyrighted characters by using indirect prompts. For example, requests to create a superhero wearing a black cape who saves people from burning buildings produced videos that closely resembled Batman. OpenAI has since tightened its guardrails and added generation limits to prevent such outputs.

The rapid decline in Sora's user base suggests these restrictions may be working. Downloads dropped 32 percent month-over-month by December 2025, even during the holiday season when app installations typically surge. By January 2026, downloads fell another 45 percent, landing at approximately 1.2 million for the month.

What This Means

The Cameo ruling represents a rare legal victory for an established company against an AI firm in the early stages of AI regulation. It demonstrates that courts are willing to apply existing trademark law to protect brand names from confusion caused by AI products.

For OpenAI, the decision signals that it cannot simply appropriate existing brand names or marketing strategies, even if those names have multiple meanings in common usage. The company will need to navigate intellectual property law more carefully as it expands its video generation capabilities.

For other AI companies, the case serves as a warning that trademark holders will actively defend their brands in court. It also shows that preliminary injunctions are available to companies that can demonstrate a likelihood of success and irreparable harm.

The broader implications extend beyond trademark law. The Cameo case occurs within a larger landscape of AI-related legal disputes involving copyright, celebrity likeness rights, and brand protection. As AI technology becomes more sophisticated and accessible, companies will increasingly need to consider how their products might infringe on existing intellectual property rights.

OpenAI's shift from 'Cameo' to 'Characters' as the feature name suggests the company recognizes the legal and business risks of trademark disputes. The change allows the company to continue offering the feature while avoiding the specific branding conflict with the celebrity video platform.