Mattel & OpenAI Partner on AI Toys

Source: cbsnews.com

Published on June 13, 2025

Updated on: June 12, 2025 / 6:24 PM EDT/ CBS News Barbie maker Mattel is partnering with OpenAI to develop generative AI-powered toys and games, as the new technology disrupts a wide range of industries, Mattel announced Thursday.

Strategic Collaboration

Mattel calls the alliance a "strategic collaboration to support AI-powered products and experiences based on Mattels' brands." They will likely announce their first product later this year, as the toymaker tries to get ahead of the AI curve. The collaboration will combine Mattel's most well-known brands — including Barbie, Hot Wheels, American Girl and more — with OpenAI's generative AI capabilities to develop new types of products and experiences, the companies said.

AI and Play

"By using OpenAI's technology, Mattel will bring the magic of AI to age-appropriate play experiences with an emphasis on innovation, privacy and safety," Mattel said in the statement. It added that any AI woven into toys or games would be used in a safe and secure manner. On the corporate front, Mattel said it plans to leverage OpenAI's business tools including ChatGPT Enterprise — an enhanced version of ChatGPT designed for businesses — to power new product development.

The collaboration indicates that virtually no field is insulated from disruption by AI. Mattel touts OpenAI's tools as improving its business operations and enhancing its product development processes. Initially promoted as automating mundane tasks and freeing up humans to do more creative jobs, generative AI tools are becoming increasingly sophisticated and capable of more than just rote work.

Statements

OpenAI Chief Operating Officer Brad Lightcap said the company is "pleased to work with Mattel as it moves to introduce thoughtful AI-powered experiences and products into its iconic brands, while also providing its employees the benefits of ChatGPT."

"With OpenAI, Mattel has access to an advanced set of AI capabilities alongside new tools to enable productivity, creativity and companywide transformation at scale," he added.

Amid flagging toy sales, Mattel has leveraged its intellectual property to produce other forms of entertainment, including movies, television and mobile games. The company's studio arm has a slate of more than a dozen films planned based on its famous toy brands, following the success of its 2023 "Barbie" movie. Mattel is also among a number of large U.S. retailers that have pulled their financial guidance amid ongoing economic uncertainty. Last month, Mattel paused its full-year guidance for 2025 citing tariff-driven uncertainty. The company also said it would raise prices on some goods to offset added costs form tariffs.

Megan Cerullo is a New York-based reporter for CBS MoneyWatch covering small business, workplace, health care, consumer spending and personal finance topics. She regularly appears on CBS News 24/7 to discuss her reporting. © 2025 CBS Interactive Inc. All Rights Reserved. Copyright ©2025 CBS Interactive Inc. All rights reserved.