Directed by Byron Howard, Rich Moore and Jared Bush, the fantasy is set in a city where predators and prey live together in harmony.
The movie beat out "Moana", "Kubo and the Two Strings," "My Life as a Zucchini" and "The Red Turtle" to take home the trophy.
One of the most watched Disney movie of 2016, the film swept away major best animation feature trophies including the Annie awards and Golden Globes.
"Zootopia" became the second highest grossing Walt Disney Animation Studios release of all time in its original release after "Frozen," and the third-biggest overall after "Frozen" and "The Lion King."
A bouncy, candy-colored comedy-adventure, "Zootopia," had great voice performances by Ginnifer Goodwin, Jason Bateman, Idris Elba, J K Simmons, Tommy Chong, Octavia Spencer, Jenny Slate and Shakira.
Goodwin plays a rabbit police officer who teams with Bateman's fox con artist to uncover a conspiracy.
Disney has won the last two animated Oscars with "Frozen" and "Big Hero 6."
Jimmy Kimmel hosted the 89th Academy Awards, which took place at the Dolby Theatre in Hollywood, California.
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