AI toys for children are becoming increasingly popular but are they more harmful than beneficial? Getty Images
AI toys for children are becoming increasingly popular but are they more harmful than beneficial? Getty Images
AI toys for children are becoming increasingly popular but are they more harmful than beneficial? Getty Images
AI toys for children are becoming increasingly popular but are they more harmful than beneficial? Getty Images

AI in children’s toys and entertainment – engaging experience or dangerous data collecting?


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In late 2023, Canadian singer Grimes – the ex-partner of Elon Musk, with whom she has three children – released an interactive artificial intelligence toy called Grok.

The plush toy uses AI chatbot technology to process information to communicate and is marketed as an alternative to screen time by encouraging little ones to interact with a toy that remembers their names and facts about them, as well as join in conversations.

“Personalised AI toys offer some interesting benefits for children’s play experiences,” says Sarah Maamari, child and adolescent psychologist at Sage Clinics. “By remembering details about the child and responding in unique ways, these toys can keep children engaged for longer periods, providing a more interactive experience that adapts to their individual interests and developmental needs.”

However, Grok isn’t the only chatbot on the market. The Moxie AI Companion lists interactive play-based learning, emotional support and social skills development among its benefits, while the Miko Robot says it “sparks curiosity and Steam learning, enhancing cognitive and analytical skills through interactive play".

Grok is an AI toy created by Canadian singer Grimes. Photo: Curio
Grok is an AI toy created by Canadian singer Grimes. Photo: Curio

“AI toys that talk back and remember details about a child can foster a sense of companionship and validation,” says Raneem Nageeb, a psychologist at Thrive Wellbeing Centre. "They also encourage imaginative play and verbal communication.

“However, fully relying on such toys for social interaction can hinder the child’s social skills as authentic human interaction is irreplaceable. Human interaction is open-ended rather than scripted and if a child becomes too attached, the toy may prevent them from forming healthy relationships with peers, as the one with the AI is instead prioritised.”

How AI is shaping the toy industry

Toys that communicate with the user have been around for a while. The electronic memory game Simon, in which players have to remember and repeat the sequence in which four coloured pads light up, was one of the top-selling toys for Christmas 1978.

“AI is being increasingly integrated into children’s entertainment to create engaging, personalised and interactive experiences,” says NYU Abu Dhabi professor Hanan Salam, who is also the co-founder of Women in AI and director of the Social Machines and RoboTics Lab at the university.

“For example, we can now find applications that offer interactive and adaptive storytelling. In such apps, AI tailors stories based on children’s choices, interests or age creating a personalised narrative experience.”

Simon was once one of the biggest selling games in 1978. Bloomberg
Simon was once one of the biggest selling games in 1978. Bloomberg

Simon was preceded by games such as Geniac released in 1955, which could play noughts and crosses, and 1963’s Digi-Comp I, both of which utilised microcomputer technology to create basic interaction.

“Another way by which AI is currently being used to shape children’s entertainment is by making education more entertaining by incorporating things like gamified learning,” says Salam. “For example, platforms like Khan Academy Kids use AI to adapt educational content to individual learning paces, offering customised quizzes, games and activities. There are also tools like Duolingo Kids, an AI-driven language tool which uses AI to adjust difficulty levels and suggest content based on kid’s progress.”

Privacy issues and parental concerns

Any new technology that centres on or appeals to children is certain to be met with concern by parents who are already bombarded by the dangers of too much screen time and unsupervised internet access.

“Personalisation raises concerns about privacy such as data collection and how children's information is stored, used or shared, as well as over-dependence on technology and screen time, which are critical considerations for parents and developers,” says Salam. “For instance, children might become overly reliant on personalised AI systems, reducing their ability to engage with non-digital forms of play or learning and reduced interaction with real-world peers or mentors.”

Moxie AI Companion lists interactive play-based learning, emotional support and social skills development among its benefits. AFP
Moxie AI Companion lists interactive play-based learning, emotional support and social skills development among its benefits. AFP

She adds: “Another aspect to look out for is the limited exposure to new ideas where over-personalisation could be counterproductive and limit the kid’s exposure to unfamiliar topics or ideas.”

A 2023 report by the US Public Interest Research Groupy, titled Trouble in Toyland, shared a list of functions parents should be aware of when it comes to AI toys. Cameras, microphones, sensors, location sharing and chat functions were all named as aspects that parents should take into consideration. The report also stated that AI-enabled toys could potentially gather and share information and may collect and store data about children that could be transmitted to external company servers.

“While children are natural adaptors to new technology due to their neural plasticity, parental guidance is crucial in shaping how they interact with technology,” says Nageeb.

“Children can quickly learn how to navigate AI-driven tools and devices. Parents can help their children adapt to the prevalence of AI by setting healthy boundaries to foster a balanced approach. This can be done by limiting screen time and incorporating sensory breaks to support healthier brain development and emotional resilience.”

Navigating and getting the most out of AI toys

With AI still very much in its headline-making phase, it would be easy for parents to think the technology is taking over their children’s toybox, which is not necessarily the case.

Natasha Crookes, director general of the UK-based Toy Retailers Association, tells The National: “AI toys are not an important segment of the toys market currently. We just launched the Dream Toys for Christmas and didn’t have any AI toys on the list.”

Experts have agreed, however, that the interactions AI toys can provide can be beneficial to children with parental supervision and guidance.

“This tailored approach could enhance learning, as the toy can adjust to the child’s pace, help build specific skills and reinforce interests or hobbies,” says Maamari. “Additionally, interactive AI toys may support social learning by mimicking conversational patterns, giving children opportunities to practice language, empathy and conversational turn-taking.”

Children who struggle with social skills may also benefit from having toy robots to practice interactions with and those for whom traditional educational methods require certain adaptations.

“In terms of education, personalisation offers great support for individual learning styles with adaptive educational platforms that can provide content tailored to a child’s pace, strengths and challenges, helping them grasp concepts more effectively,” says Salam. “Children with specific learning needs or disabilities can also benefit from personalised support and encouragement.”

Parents play an essential role in teaching their children healthy boundaries, which includes setting limits on screen time, encouraging tech breaks and balancing digital activities with hands-on play, outdoor time and social interaction.

Maamari adds: “Being knowledgeable about the technology in their children’s lives allows parents to set boundaries more confidently and to better understand the content their children are exposed to.”

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Libya's Gold

UN Panel of Experts found regime secretly sold a fifth of the country's gold reserves. 

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Cases filled with cash that was said to amount to $560m in 100 dollar notes, that was kept by a group of Libyans in Ouagadougou, Burkina Faso.

A second stash was said to have been held in Accra, Ghana, inside boxes at the local offices of an international human rights organisation based in France.

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Ballon d’Or (Men’s)
Ousmane Dembélé (Paris Saint-Germain / France)

Ballon d’Or Féminin (Women’s)
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Kopa Trophy (Best player under 21 – Men’s)
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Vicky López (Barcelona / Spain)

Yashin Trophy (Best Goalkeeper – Men’s)
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Best Women’s Goalkeeper
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Women’s Coach of the Year
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Company name: baraka
Started: July 2020
Founders: Feras Jalbout and Kunal Taneja
Based: Dubai and Bahrain
Sector: FinTech
Initial investment: $150,000
Current staff: 12
Stage: Pre-seed capital raising of $1 million
Investors: Class 5 Global, FJ Labs, IMO Ventures, The Community Fund, VentureSouq, Fox Ventures, Dr Abdulla Elyas (private investment)

Timeline

2012-2015

The company offers payments/bribes to win key contracts in the Middle East

May 2017

The UK SFO officially opens investigation into Petrofac’s use of agents, corruption, and potential bribery to secure contracts

September 2021

Petrofac pleads guilty to seven counts of failing to prevent bribery under the UK Bribery Act

October 2021

Court fines Petrofac £77 million for bribery. Former executive receives a two-year suspended sentence 

December 2024

Petrofac enters into comprehensive restructuring to strengthen the financial position of the group

May 2025

The High Court of England and Wales approves the company’s restructuring plan

July 2025

The Court of Appeal issues a judgment challenging parts of the restructuring plan

August 2025

Petrofac issues a business update to execute the restructuring and confirms it will appeal the Court of Appeal decision

October 2025

Petrofac loses a major TenneT offshore wind contract worth €13 billion. Holding company files for administration in the UK. Petrofac delisted from the London Stock Exchange

November 2025

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Juliot Vinolia’s checklist for adopting alternate-day fasting

-      Don’t do it more than once in three days

-      Don’t go under 700 calories on fasting days

-      Ensure there is sufficient water intake, as the body can go in dehydration mode

-      Ensure there is enough roughage (fibre) in the food on fasting days as well

-      Do not binge on processed or fatty foods on non-fasting days

-      Complement fasting with plant-based foods, fruits, vegetables, seafood. Cut out processed meats and processed carbohydrates

-      Manage your sleep

-      People with existing gastric or mental health issues should avoid fasting

-      Do not fast for prolonged periods without supervision by a qualified expert

Updated: February 11, 2025, 10:16 AM