"German parents told to destroy doll that can spy on children" [View all]
https://www.theguardian.com/world/2017/feb/17/german-parents-told-to-destroy-my-friend-cayla-doll-spy-on-children
Germanys telecommunications watchdog has ordered parents to destroy or disable a smart doll because the toy can be used to illegally spy on children.
The My Friend Cayla doll, which is manufactured by the US company Genesis Toys and distributed in Europe by Guildford-based Vivid Toy Group, allows children to access the internet via speech recognition software, and to control the toy via an app.
But Germanys Federal Network Agency announced this week that it classified Cayla as an illegal espionage apparatus. As a result, retailers and owners could face fines if they continue to stock it or fail to permanently disable the dolls wireless connection.
Under German law it is illegal to manufacture, sell or possess surveillance devices disguised as another object. According to some media reports, breaching that law can result in a jail term of up to two years.
Since it is manufactured by a US company, I'd guess that it is sold here as well and would pose the same insecurity to privacy.