Thomas Unise
China is experiencing a significant surge in AI companion toys for adults, even as regulators consider stricter controls on AI technology. This trend highlights the contradictions within China’s approach to artificial intelligence and social needs.
The Growing Popularity of AI Companions
AI companion toys are rapidly gaining popularity among Chinese adults, particularly those living alone. These devices offer features like simulated breathing, heating mechanisms, and conversational abilities that provide comfort and companionship without judgment.
The market for these AI companions is booming, with transaction volumes on Taobao jumping by over 1,600 percent in 2025. On JD.com, a single AI toy called the Laolao Parrot sold approximately 7 million units, priced affordably at about $23 USD each.
Chinese companies dominated the AI toy market at CES 2026, representing about 80 percent of the 60 AI companion toys displayed. Products range from pocket-sized companions to autonomous roving devices.
Regulatory Contradictions
This commercial success stands in stark contrast to recent regulatory movements by Chinese authorities. The Cyberspace Administration China has proposed reforms aimed at protecting consumers’ mental health from potentially harmful chatbot interactions.
These proposed regulations would hold tech firms accountable for AI that generates content promoting suicide, self-harm, gambling, obscenity, violence, or manipulates users’ emotions. This creates a potential conflict between Beijing’s regulatory ambitions and a consumer market that has already embraced AI companions by the millions.
Cultural Context
The rise of AI companions reflects broader social changes in China, where more citizens are living alone than ever before. For many like 27-year-old Nancy Liu, these devices fill an emotional void, providing a sense that “something is waiting” for them at home.
Key Takeaways
- AI companion toys are experiencing explosive growth in China, particularly among adults living alone
- Chinese companies dominate the global AI toy market, representing 80% of offerings at CES 2026
- The Cyberspace Administration China has proposed strict regulations on AI that could affect these companion devices
- The situation highlights China’s contradictory approach to AI technology: encouraging commercial development while implementing tight controls
- The trend reflects changing social dynamics in China, with more people seeking technological solutions to loneliness
Whether Beijing can reconcile its regulatory concerns with the market’s embrace of AI companions remains to be seen, creating yet another contradiction in China’s complex relationship with technology.
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