Mattel said on Thursday it is working with OpenAI to develop toys and games that use artificial intelligence, with the first AI-powered product expected to launch later this year.
The maker of Barbie, Hot Wheels, and Uno plans to use AI to create play experiences that focus on innovation, privacy, and safety. The company will also use OpenAI tools such as ChatGPT Enterprise in its business operations to support product development and improve internal processes.
Mattel said the partnership gives it access to advanced AI capabilities that can help with creativity and productivity across the company.
The announcement comes as demand for toys remains weak, with consumers cutting back on spending due to changes in U.S. trade policy. In recent months, Mattel has leaned on entertainment content, including films, TV shows, and mobile games, to support sales as its core toy business slows.
Last month, Mattel withdrew its yearly forecast and said it would raise domestic prices on some products to manage higher supply chain costs.