The first big Christmas gift I remember getting was an animatronic bear named Teddy Ruxpin. Thanks to a cassette tape hidden in his belly, he could talk, his eyes and mouth moving in a famously creepy way. Later that winter, when I was sick with a fever, I hallucinated that the toy came alive and attacked me. I never saw Teddy again after that.
These days, toys can do a lot more than tell pre-recorded stories. So-called smart toys, many of which are internet-connected, are a $20 billion business, and increasingly, they’re artificially intelligent. Mattel and OpenAI announced a partnership last week to “bring the magic of AI to age-appropriate play experiences with an emphasis on innovation, privacy, and safety.” They’re planning to announce their first product later this year. It’s unclear what this might entail: maybe it's Barbies that can gossip with you or a self-driving Hot Wheels or something we haven't even dreamed up yet.
All of this makes me nervous as a young parent. I already knew that generative AI was invading classrooms and filling the internet with slop, but I wasn’t expecting it to take over the toy aisle so soon. After all, we’re already struggling to figure out how to manage our kids’ relationship with the technology in their lives, from screen time to the uncanny videos made to trick YouTube’s algorithm. As it seeps further into our society, a growing number of people are using AI without even realizing it. So you can’t blame me for being anxious about how children might encounter the technology in unexpected ways.
AI-powered toys are not as new as you might think. They’re not even new for Mattel. A decade ago, the toy giant released Hello Barbie, an internet-connected doll that listened to kids and used AI to respond (think Siri, not ChatGPT). It was essentially the same concept as Teddy Ruxpin except with a lot of digital vulnerabilities. Naturally, security researchers took notice and hacked Hello Barbie, revealing that bad actors could steal personal information or eavesdrop on conversations children were having with the doll. Mattel discontinued the doll in 2017. Hello Barbie later made an appearance in the Barbie movie alongside other poor toy choices like Sugar Daddy Ken and Pregnant Midge.
Despite this cautionary tale, companies keep trying to make talking AI toys a thing. One more recent example comes from the mind of Grimes, of all people. Inspired by the son she shares with Elon Musk, the musician teamed up with a company called Curio to create a stuffed rocket ship named Grok. The embodied chatbot is supposed to learn about whomever is playing with it and become a personalized companion. In real life, Grok is frustratingly dumb, according to Katie Arnold-Ratliff, a mom and writer who chronicled her son’s experience with the toy in New York magazine last year.
“When it started remembering things about my kid, and speaking back to him, he was amazed,” Arnold-Ratliff told me this week. “That awe very quickly dissipated once it was like, why are you talking about this completely unrelated thing.”
Grok is still somewhere in their house, she said, but it has been turned off for quite some time. It turns out Arnold-Ratliff’s son is more interested in inanimate objects that he can make come alive with his imagination. Sure, he’ll play Mario on his Nintendo Switch for long stretches of time, but afterward, he’ll draw his own worlds on paper. He’ll even create digital versions of new levels on Super Mario Maker but get frustrated when the software can’t keep up with his imagination.
This is a miraculous paradox when it comes to kids and certain tech-powered toys. Although an adult might think that, for instance, AI could prompt kids to think about play in new ways or become an innovative new imaginary friend, kids tend to prefer imagining on their own terms. That’s according to Naomi Aguiar, PhD, a researcher at Oregon State University who studies how children form relationships with AI chatbots.
“There's nothing wrong with children's imaginations. They work fine,” Aguiar said. “What captures the hearts and minds of young children is often what they create for themselves with the inanimate artifacts.”
Aguiar did concede that AI can be a powerful educational tool for kids, especially for those who don’t have access to resources or who may be on the spectrum. “If we focus on solutions to specific problems and train the models to do that, it could open up a lot of opportunities,” she told me. Putting AI in a Barbie, however, is not solving a particular problem.
None of this means that I’m allergic to the concept of tech-centric toys for kids. Quite the opposite, in fact. Ahead of the Mattel-OpenAI announcement, I’d started researching toys my kid might like that incorporated some technology — enough to make them especially interesting and engaging — but stopped short of triggering dystopian nightmares. Much to my surprise, what I found was something of a mashup between completely inanimate objects and that terrifying Teddy Ruxpin.
One of these toys is called a Toniebox, a screen-free audio player with little figurines called Tonies that you put atop the box to unlock content — namely songs, stories, and so forth. Licenses abound, so you can buy a Tonie that corresponds with pretty much any popular kids character, like Disney princesses or Paddington Bear. There are also so-called Creative Tonies that allow you to upload your own audio. For instance, you could ostensibly have a stand-in for a grandparent to enable story time, even if Grandma and Grandpa are not physically there. The whole experience is mediated with an app that the kid never needs to see.
There’s also the Yoto Player and the Yoto Mini, which are similar to the Toniebox but use cards instead of figurines and have a very low-resolution display that can show a clock or a pixelated character. Because it has that display, kids can also create custom icons to show up when they record their own content onto a card. Yoto has been beta-testing an AI-powered story generator, which is designed for parents to create custom stories for their kids.
If those audio players are geared toward story time, a company called Nex makes a video game console for playtime. It’s called Nex Playground, and kids use their movements to control it. This happens thanks to a camera equipped with machine-learning capabilities to recognize your movements and expressions. So imagine playing Wii Sports, but instead of throwing the Nintendo controller through your TV screen when you’re trying to bowl, you make the bowling motion to play the game.
Nex makes most of its games in-house, and all of the computation needed for its gameplay happens on the device itself. That means there’s no data being collected or sent to the cloud. Once you download a game, you don’t even have to be online to play it.
“We envision toys that can just grow in a way where they become a new way to interact with technology for kids and evolve into something that's much deeper, much more meaningful for families,” David Lee, CEO of Nex, said when I asked him about the future of toys.
It will be a few more years before I have to worry about my kid’s interactions with a video game console, much less an AI-powered Barbie — and certainly not Teddy Ruxpin. But she loves her Toniebox. She talks to the figurines and lines them up alongside each other, like a little posse. I have no idea what she’s imagining them saying back. In a way, that’s the point.
—Adam Clark Estes, senior technology correspondent
