Social Robots
Companion Robots: AI Social Robots for Home, Elderly & Kids
The social robot market is $10.4B in 2026, growing at 31% CAGR toward $40.2B by 2031. Healthcare accounts for 37.85% of revenue. The actual product options, however, are narrower than the market size suggests.
Last updated: July 2026
Products on the market
Four meaningful products have existed in this space. One is discontinued. One never shipped outside Asia. One just relaunched after a bankruptcy. Sony aibo is the only stable, globally available product.
Market leader by units sold. AI learns owner personality over time. Cloud plan required for full functionality.
Designed for emotional bonding. No EU or North America timeline. Japan-primary market.
Embodied Inc shut down Dec 2024 with no refunds. Relaunched as Moxie Robots Inc Dec 2025. New subscriptions from Feb 2026. Designed for children.
Production stopped 2020. Aldebaran bankrupt Feb 2025. IP sold to Maxvision Jul 2025. Only available used.
Healthcare: the largest use case
Healthcare accounts for 37.85% of social robot revenue. The dominant use cases are elder care companionship (reducing loneliness, which has measurable health impacts), dementia patient engagement, and pediatric care.
Elder care companionship
Social isolation in elderly patients correlates with increased mortality risk. Robot companions provide consistent interaction without staffing cost. aibo is used in care homes in Japan.
Dementia engagement
Repetitive, calm interaction is beneficial for dementia patients. Robots do not tire, do not become frustrated, and can be programmed with specific interaction protocols.
Pediatric hospitals
Moxie was specifically designed for children. Structured conversation activities have shown benefits for children with autism spectrum conditions and social anxiety.
Why the market gap exists
A $10.4B market with essentially one globally available consumer product (aibo) reveals a structural gap. The market size is driven largely by institutional and enterprise purchases — care facilities, hospitals, corporate reception — not consumer sales.
Consumer companion robots require cloud infrastructure, ongoing content, hardware reliability, and a recurring revenue model that is hard to sustain. Moxie's bankruptcy and relaunch is a case study. Pepper's failure is another. aibo's survival is partly explained by Sony's balance sheet and Japan's cultural market for robot companions.