Meta’s Muse Charm looks like a Tamagotchi, but it’s tapping into a much newer trend

Meta’s recently unveiled Muse Charm bears a resemblance to the Tamagotchi toy, but it taps into a newer trend in technology. Similar to the recent popularity of bag charms, which include items like lip gloss, hand sanitizer, and fragrances, the Muse Charm is a customizable character that allows users to design their own avatar. This form factor makes the AI agent a reflection of the user's personality, much like the accessories that Gen Z consumers have grown to love.

The charm is reminiscent of Tamagotchi, a pocket-sized digital virtual pet that was a major toy fad in the late 90s and mid-2000s. However, the Tamagotchi is not the most recent reference point in this trend. Instead, Muse Charm is a modern take on the Apple Watch keychain or charm, which has gained popularity among younger people as a fashion accessory.

This trend is connected to the broader retro-tech movement, where older technology like digital cameras, flip phones, iPods, and other devices are making a comeback. Gen Z consumers feel a sense of connection with technology when they can touch and feel it, and this desire for physical objects helps them feel more connected with the technology they're using.

While Meta has faced consumer trust issues in the past, these concerns may not deter the potential success of Muse Charm, especially if consumers believe that the "devil they know" is better than the one they don't, particularly when it comes to the potential risks of advanced AI technology.