Recent Study Indicates Increase in ‘Spying’ Toys Targeting Children

A recent report from the U.S. Public Interest Research Group Education Fund, a nationwide network of consumer advocacy groups, is sounding the alarm about a potential emerging threat associated with smart toys for children just ahead of the holiday gift-giving season.

In a news release on Thursday, the organization drew parallels between the expanding toy category and espionage.

“It’s disconcerting to discover the capabilities of some of these toys,” remarked Teresa Murray, a consumer watchdog with the U.S. PIRG Education Fund and co-author of the report. “While smart toys can offer utility, enjoyment, or educational value, engaging with certain ones can lead to alarming situations for too many families.”

Intelligent toys encompass a range of products, from simple ones like toy dolls and plush toys that can “listen” or “speak” and connect to mobile apps and cameras, to more advanced devices such as drones, smart speakers, smartwatches, and virtual reality headsets equipped with features like microphones, Wi-Fi capability, and location trackers.

According to the annual “Trouble in Toyland” report by the U.S. PIRG Education Fund, smart toys pose potential undisclosed risks to children and families. These risks include the threat of data breaches and hacking, potential breaches of children’s privacy laws, and the exposure to “inappropriate or harmful material without proper filtering and parental controls.”

The consumer advocacy group suggests that parents and individuals purchasing toys or gifts for children during the upcoming holiday season consider the following guidelines:

  1. Conduct a web search on a smart toy and read reviews to identify any potential issues.
  2. Learn about the features of a smart toy by asking questions such as whether it connects to Bluetooth, the internet, or social media, collects private information, records audio and video, or can send online messages or emails.
  3. Review the privacy policy of a smart toy, not just the toy company’s privacy policy, to understand the type of data collected and its usage.

The U.S. PIRG Education Fund, in its report, calls for additional federal legislation to enhance the protection of children’s online privacy and implement more robust labeling standards for smart toys. The group supports the expansion of the Children’s Online Privacy Protection Act (COPPA) and the Transparency Over Toys Spying Act (TOTS Act), both introduced in Congress. These acts would require the Federal Trade Commission to establish new labeling rules for smart toys and mandate that toy user agreements or privacy policies explicitly state how personal information may be collected and used.

While COPPA has progressed out of committee and is awaiting consideration in the Senate, the TOTS Act is awaiting a vote in the House Innovation, Data, and Commerce subcommittee.

Consumer Reports, having previously cautioned parents about giving children smart toys, emphasized the need for vigilance. In a 2018 report on internet-connected toys, Consumer Reports acknowledged no immediate threat to children’s safety in their limited sampling but highlighted a broader trend of companies needing to improve data protection.

In response to the U.S. PIRG report, The Toy Association, representing numerous U.S. toy companies, issued a statement emphasizing the toy industry’s commitment to high safety standards. The statement recommended families shop from trusted retailers and online sellers, emphasizing research before making purchases to avoid inadvertently acquiring counterfeit or unsafe products disguised as toys.

Diligent and reputable toy manufacturers adhere to over 100 stringent federal safety standards and tests throughout the year to ensure the safety of children during play. This includes compliance with guidelines outlined in the Children’s Online Privacy Protection Act (COPPA), overseen by the Federal Trade Commission (FTC), which incorporates provisions regulating children’s privacy and data security.

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