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Reading: All the problems with AI toys this holiday season
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All the problems with AI toys this holiday season

Last updated: November 25, 2025 4:00 pm
Published: 2 months ago
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The AI gift economy is booming. Smart AI toys alone are valued at nearly $35 billion globally and projected to hit $270 billion by 2035, with China accounting for roughly 40% of that growth. Major retailers like Walmart and Costco are stocking AI companions on their shelves. Even legacy toymakers like Mattel have partnered with OpenAI to bring AI into children’s playrooms. The pitch is obvious. AI has already infiltrated our phones, our jobs, our daily routines. Why not our gift-giving too? These devices promise to learn, adapt, and engage in ways traditional presents never could.

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