California state Sen. Steve Padilla has introduced groundbreaking legislation that would slap a four-year moratorium on the sale and manufacture of toys equipped with artificial intelligence (AI) chatbot capabilities for children under 18, marking what could become the nation’s first state-level restriction on AI in children’s products.
Senate Bill 867, introduced earlier this month, aims to provide regulators with crucial time to develop comprehensive safety guidelines before AI-enabled toys become more widespread in the marketplace. The San Diego Democrat emphasized that the legislation prioritizes child protection over technological innovation.
The legislation arrives shortly after President Trump signed an executive order targeting state AI laws, though the order explicitly exempts state legislation related to child safety. As California’s legislative process unfolds this year, the bill could establish a national precedent for regulating AI technology in children’s products.
“Chatbots and other AI tools may become integral parts of our lives in the future, but the dangers they pose now require us to take bold action to protect our children,” Padilla said. “Our children cannot be used as lab rats for Big Tech to experiment on.”
The proposed ban addresses mounting concerns about AI interactions with minors following several high-profile incidents that have sparked congressional hearings and ongoing litigation against major technology companies. Multiple families have filed lawsuits after their children died by suicide following prolonged conversations with AI chatbots from Character.ai, OpenAI, and others, raising questions about the technology’s psychological impact on young users.
While AI chatbots in toys remain relatively uncommon, troubling examples have already emerged. Consumer advocacy group PIRG Education Fund discovered that Kumma, a chatbot-enabled teddy bear, could easily be prompted to discuss matches, knives, and sexual content. NBC News reported that Miiloo, an AI toy manufactured by Chinese company Miriat, appeared programmed to reflect Chinese Communist Party values.
Major toy manufacturers have also reconsidered their AI ambitions. OpenAI and Mattel Inc. postponed plans to release an AI-powered product originally scheduled for 2025, with no clear timeline for a potential 2026 launch.
Padilla, who co-authored California’s recently passed SB 243 requiring chatbot operators to implement child safety protections, emphasized this legislation is “not an anti-technology bill” but rather a measured approach to safeguarding vulnerable consumers. The bill draws similar language from SB 243 to define AI capabilities in toys designed for young users.
“We want to make sure that before we more broadly deploy this technology in toys that are designed, manufactured and marketed for young children, that harms are understood,” Padilla said, noting California’s substantial market influence.
