Advancements in machine learning have recently enabled the hyper-realistic synthesis of prose, images, audio and video data, in what is referred to as artificial intelligence (AI)-generated media. These techniques offer novel opportunities for creating interactions with digital portrayals of individuals that can inspire and intrigue us. AI-generated portrayals of characters can feature synthesized faces, bodies and voices of anyone, from a fictional character to a historical figure, or even a deceased family member. Although negative use cases of this technology have dominated the conversation so far, in this Perspective we highlight emerging positive use cases of AI-generated characters, specifically in supporting learning and well-being. We demonstrate an easy-to-use AI character generation pipeline to enable such outcomes and discuss ethical implications as well as the need for including traceability to help maintain trust in the generated media.