Mattel has partnered with OpenAI to develop AI-powered toys and digital experiences, with the first product expected later this year—marking a high-tech turn for the storied toy giant amid a shifting market landscape.
At a Glance
- Mattel has announced a collaboration with OpenAI to build AI-enhanced toys
- The company plans to launch its first AI-powered product by late 2025
- ChatGPT Enterprise will be used internally to boost creativity and workflows
- Mattel emphasized compliance with privacy laws and child safety standards
- The move comes as core toy sales struggle amid broader economic pressures
AI Meets Barbie and Beyond
In a bold move to modernize its product line, Mattel is teaming up with OpenAI to bring artificial intelligence into the world of toys. The partnership aims to integrate OpenAI’s technology—including ChatGPT—into upcoming toys, games, and digital experiences, although the company has not yet disclosed specific products. According to Reuters, the first AI-powered release is expected before the end of 2025.
Internally, Mattel will also deploy ChatGPT Enterprise to speed up product development and streamline creative processes. OpenAI COO Brad Lightcap described the collaboration as equipping Mattel with tools to support “company-wide transformation at scale,” according to the Times of India.
Commitment to Safety and Innovation
Mattel’s leadership emphasized that child safety and privacy are non-negotiable priorities. The company says all AI-enabled toys will be developed in accordance with privacy standards such as COPPA and GDPR. In a statement shared via the Financial Times, Mattel reaffirmed its focus on “innovation, privacy and safety,” seeking to balance cutting-edge experiences with responsible design.
This initiative follows a year of strategic pivots, including the global success of the Barbie movie and a growing investment in digital gaming properties. The OpenAI alliance is seen as an extension of that strategy—an effort to maintain relevance among tech-savvy consumers and evolving play patterns.
The AI Toy Trend Accelerates
Mattel’s foray into AI mirrors a broader industry trend: smart toys are becoming standard in the digital age. As competitors race to integrate artificial intelligence into their offerings, Mattel’s move may position it at the forefront of a new category—“AI-first” play.
With legacy brands like Barbie, Hot Wheels, and Fisher-Price in its portfolio, Mattel now faces the challenge of blending nostalgia with innovation. Whether the strategy reinvigorates sales remains to be seen, but the company is betting that AI will help redefine play for a new generation.
