I actually think this is genius.
The next Spielberg might be some poor kid in a third-world country who can create a global hit using this tech.
Among the millions of slop videos generated, some might be the next Baby Shark, etc.
I've seen some Star Wars fan fiction created using AI that is truer to the original Star Wars than the most recent trilogy.
This is a chance for Disney to take the best of the user generated content, with high quality AI generated animation, and throw it on Disney+ to get free content for their streaming platform.
My guess is that's the gamble here. Worst-case scenario at the end of three years they just shut it down.
It's really the professionals who get paid to generate content for Disney that should be worried about this deal. This could be how AI causes them to lose their jobs.