From Blocks to AI Toys: How Smart Toys for 5-Year-Olds Are Redefining Playtime

For decades, building blocks, puzzles, and dolls defined the landscape of children’s play. Today, that landscape is shifting rapidly. A new wave of AI-powered toys is transforming how children as young as five engage with playtime—infusing it with technology, education, and interactivity once reserved for older users.

According to Statista, the global smart toy market is projected to surpass $24 billion by 2028, growing at an annual rate of nearly 12%. Parents, increasingly focused on blending fun with learning, are driving this surge. A recent survey by Pew Research Center found that 61% of parents with children under 8 believe interactive technology can enhance cognitive skills, provided it is safe and age-appropriate.

Unlike passive toys, AI toys engage children in dynamic two-way interaction. For example, Shenzhen-based INFUNITY, which evolved from a traditional toy manufacturer into an AI-focused company in 2025, recently introduced the Pulse V-1, a futuristic toy gun equipped with an AI agent. It can scan objects, identify them, and then extend the learning experience—such as teaching vocabulary in multiple languages. For children aged 3–8, this turns play into both an adventure and a lesson.

Data also suggests a strong educational impact. A 2024 study by MIT’s Media Lab showed that children who interacted with AI-enhanced toys for just 20 minutes a day over three months demonstrated a 15% increase in vocabulary retention compared to peers using traditional toys. This has caught the attention of educators and parents alike, who see smart toys as an affordable supplement to early childhood learning.

But the rise of AI toys also raises questions. Privacy concerns remain significant: a 2023 Consumer Reports study found that 37% of parents worry about toys collecting children’s personal data. INFUNITY along with many manufacturers attempt to mitigate this by integrating offline play modes and parental control apps that provide detailed usage reports while safeguarding sensitive data.

Still, for many families, the benefits outweigh the risks. A parent in Shanghai told us, “My son treats his AI toy like a friend. He’s learning English words while playing. I never imagined playtime could double as a language class.”

From blocks that built castles to AI toys that build knowledge, the definition of playtime is evolving. This market will belong to the companies that can balance entertainment, safety, and educational value—reshaping childhood for a generation raised in the age of intelligent machines.