According to Fox News AI, a company has resumed sales of its AI-powered teddy bears after addressing a recent safety scare that led to a temporary recall (source: Fox News, Dec 1, 2025). The incident highlights the growing importance of safety compliance and robust risk management in the AI-powered toy sector. Businesses in the smart toys market are increasingly investing in AI safety features and transparent privacy policies to maintain consumer trust and comply with regulatory requirements. The quick restoration of sales demonstrates both the high demand for interactive AI toys and the significant market opportunity for companies that prioritize child safety and data protection.