Mattel has teamed up with AI leader OpenAI to create AI-powered products and experiences for its well-known brands, the companies announced on June 17. This collaboration will integrate ChatGPT Enterprise into Mattel’s product development process and enhance engagement with consumers. OpenAI’s COO Brad Lightcap expressed enthusiasm for working with Mattel to bring thoughtful AI-driven innovations to its iconic toy lines while also equipping employees with ChatGPT tools.

The partnership will focus on developing “a series of products and experiences” designed for age-appropriate play, with the first launch expected later this year.

Mattel, known for popular brands such as Barbie and Hot Wheels, aims to harness AI to drive product innovation and expand interactive play options. The company emphasizes a commitment to privacy and safety throughout its AI development efforts.

“Each of our products and experiences is designed to inspire fans, entertain audiences, and enrich lives through play,” said Josh Silverman, Mattel’s chief franchise officer. “AI has the power to expand on that mission and broaden the reach of our brands in new and exciting ways.”

The initiative builds on Mattel’s April 2024 announcement to incorporate AI across its operations as a means to reduce costs, with a dedicated team working on AI integration. CEO Ynon Kreiz has highlighted a goal to save $200 million by 2026 through AI-driven efficiencies.

Recently, Mattel cautioned investors about potential price hikes due to tariffs and global supply chain challenges, noting efforts to diversify its sourcing to minimize tariff impacts.

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