Smart toys, smartwatches, smart teddy bears, and more are all in kids hands. The FBI has previously cautioned that these smart toys can be compromised by hackers. Children’s data is often recorded with these devices, which means their data could be potentially leveraged for malicious reasons if a cybercriminal breaches the organization behind a specific connected product or app. Parents should look up the manufacturer first and see if they have security top of mind. If the device has had any issues with security in the past, avoid purchasing it.
Source: https://www.mcafee.com/blogs/consumer/understanding-your-kids-smart-gadgets/