Mattel, the maker behind Barbie, plans to use OpenAI tools like ChatGPT Enterprise for product design and internal operations|Inside the Magic|CC BY-NC-ND 2.0
Barbie and Hot Wheels maker Mattel has partnered with ChatGPT bot maker OpenAI to roll out its first AI-powered toy later this year.
The move marks Mattel’s bold push into smart play and OpenAI’s venture into the multi-billion-dollar kids’ toy market. Mattel plans to use AI tools like ChatGPT Enterprise for product design and internal operations.
What to expect?
Executives from both companies said the project is still in early stages, but they envision AI making classic toys—like Uno and Magic 8 Ball—more interactive.
As the toy industry grapples with softer consumer demand amid President Trump’s trade shifts, Mattel is leaning into AI and entertainment—like movies and mobile games designed around its IP—to revitalize growth.
The company recently raised domestic prices to offset rising supply chain costs and has scaled back its annual forecast.
Meanwhile, OpenAI is trying to get Hollywood studios to use its latest AI video generator, Sora, though no deals have been finalized yet.