Mattel and OpenAI team up to bring generative AI to toys

Cosmico - Mattel and OpenAI team up to bring generative AI to toys
Credit: Mattel, Inc.

Mattel, the powerhouse behind beloved toy brands like Barbie, Hot Wheels, and Polly Pocket, has entered into an ambitious new partnership with OpenAI to bring generative artificial intelligence into the heart of toy-making and entertainment. This collaboration marks the first time OpenAI has teamed up with a toymaker, signaling a strategic push into the consumer entertainment and retail space — and a potentially transformative chapter for both companies.

A Next-Gen Playground

The partnership is rooted in innovation, with a shared focus on creating AI-enhanced products and experiences that are both engaging and responsible. While details remain limited, Mattel and OpenAI plan to unveil their first AI-powered product later in 2025, designed to elevate fan interaction while prioritizing safety, privacy, and security.

According to Mattel’s chief franchise officer, Josh Silverman, the initiative will span “the spectrum of physical products and some experiences,” suggesting applications that could range from interactive toys to immersive storytelling. Importantly, Silverman clarified that Mattel will retain full control of its intellectual property, emphasizing that the deal is not a licensing agreement but a strategic collaboration.

OpenAI's Expanding Footprint

This move is consistent with OpenAI’s broader strategy of embedding its tools across diverse industries — from enterprise solutions to journalism, and now, entertainment and toys. While OpenAI has made headlines for partnerships with news publishers and enterprise platforms, this is its first foray into a consumer-facing partnership with a legacy toy company.

For OpenAI, the venture offers access to a treasure trove of cultural icons and narratives — Barbie, Masters of the Universe, and more — that have recently been reimagined through major film and TV adaptations. The 2023 “Barbie” movie alone reinvigorated the brand with a global audience, and Mattel is now deep in development on additional titles featuring its IP, including live-action and animated content across various platforms.

Innovation at the Core

As part of the agreement, Mattel employees will gain access to ChatGPT Enterprise tools to support product development and creative ideation. From scripting and storytelling to concept development for physical toys and digital games, AI will play a role behind the scenes as much as in the final product.

“AI has the power to expand on our mission and broaden the reach of our brands in new and exciting ways,” Silverman said. “Our work with OpenAI will enable us to leverage new technologies to solidify our leadership in innovation and reimagine new forms of play.”

Mattel is also gearing up to launch its first self-published video game in 2026 — a potential arena for OpenAI’s technology to shine, though the company has not yet confirmed its involvement in that project.

Looking Ahead

Whether the collaboration yields a ChatGPT-powered Barbie, AI-driven storytelling experiences, or new forms of digital interaction, one thing is clear: Mattel is not simply resting on nostalgia. It’s positioning its iconic brands for a future where play, powered by AI, becomes more interactive, personalized, and dynamic than ever before.

As the toy industry races to keep pace with the digital transformation of entertainment, the Mattel-OpenAI alliance may just signal the dawn of a new creative era — where imagination meets intelligence, and play evolves with technology.

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