This report explores the potential implications of integrating Artificial Intelligence (AI) into children's environments, focusing on the significant role of the environment in shaping cognition, socio-emotional skills, and behaviors during the first 25 years of brain development. As AI becomes prevalent in educational and leisure activities, it will significantly modify children's experiences, presenting both challenges and opportunities. The analysis is informed by consultations with 15 experts from various disciplines and a comprehensive review of scientific literature on child development and technology interactions. The report highlights that AI experts anticipate transformative changes in leisure activities, education, and human-machine interactions. While AI offers substantial benefits in fostering interactive engagement, it also poses risks, especially during sensitive developmental periods. The authors advocate for proactive international collaboration and increased research to understand how technological innovations affect child development. They emphasize the need for specific child-centered regulations and education to ensure responsible AI use and its potential impacts on children's development. The report begins by discussing the historical context of AI and its rapid advancement, particularly with the release of ChatGPT-3.5 by OpenAI in 2022. It highlights the increasing integration of AI into various sectors and its tangible presence in daily life, often without users being fully aware. The report also delves into the biological and environmental factors that influence child development, emphasizing the importance of sensitive periods and the interplay between genetic and environmental factors. The report examines the current context of AI in children's environments, including entertainment, education, and conversational agents. It discusses how AI is already deeply integrated into these sectors and its potential to enhance cognitive and socio-emotional development. For example, personalized content in streaming services and social media can enrich learning environments, while video games can improve attention and spatial cognition. The report also explores the potential benefits of AI in socio-emotional development, such as enhanced social skills and empathy. The report addresses the ethical considerations and regulatory frameworks surrounding AI. It highlights the need for proper regulation and safeguards, drawing on international guidelines and policies. The report emphasizes the importance of safeguarding cognitive, social, and emotional development, particularly in the context of children's specific needs. It also discusses the trade-offs of prolonged screen time, including its impact on vision, sleep, and physical health, and the potential risks of reduced exposure to foundational experiences during critical developmental periods. The report concludes by advocating for a collaborative framework that brings together experts from technology, cognitive neurosciences, and child development. It calls for proactive efforts to design and use technology in ways that foster rather than obstruct children's comprehensive development. The report emphasizes the need for responsible AI use and ethical considerations to ensure a sustainable and ethical future for the next generation.This report explores the potential implications of integrating Artificial Intelligence (AI) into children's environments, focusing on the significant role of the environment in shaping cognition, socio-emotional skills, and behaviors during the first 25 years of brain development. As AI becomes prevalent in educational and leisure activities, it will significantly modify children's experiences, presenting both challenges and opportunities. The analysis is informed by consultations with 15 experts from various disciplines and a comprehensive review of scientific literature on child development and technology interactions. The report highlights that AI experts anticipate transformative changes in leisure activities, education, and human-machine interactions. While AI offers substantial benefits in fostering interactive engagement, it also poses risks, especially during sensitive developmental periods. The authors advocate for proactive international collaboration and increased research to understand how technological innovations affect child development. They emphasize the need for specific child-centered regulations and education to ensure responsible AI use and its potential impacts on children's development. The report begins by discussing the historical context of AI and its rapid advancement, particularly with the release of ChatGPT-3.5 by OpenAI in 2022. It highlights the increasing integration of AI into various sectors and its tangible presence in daily life, often without users being fully aware. The report also delves into the biological and environmental factors that influence child development, emphasizing the importance of sensitive periods and the interplay between genetic and environmental factors. The report examines the current context of AI in children's environments, including entertainment, education, and conversational agents. It discusses how AI is already deeply integrated into these sectors and its potential to enhance cognitive and socio-emotional development. For example, personalized content in streaming services and social media can enrich learning environments, while video games can improve attention and spatial cognition. The report also explores the potential benefits of AI in socio-emotional development, such as enhanced social skills and empathy. The report addresses the ethical considerations and regulatory frameworks surrounding AI. It highlights the need for proper regulation and safeguards, drawing on international guidelines and policies. The report emphasizes the importance of safeguarding cognitive, social, and emotional development, particularly in the context of children's specific needs. It also discusses the trade-offs of prolonged screen time, including its impact on vision, sleep, and physical health, and the potential risks of reduced exposure to foundational experiences during critical developmental periods. The report concludes by advocating for a collaborative framework that brings together experts from technology, cognitive neurosciences, and child development. It calls for proactive efforts to design and use technology in ways that foster rather than obstruct children's comprehensive development. The report emphasizes the need for responsible AI use and ethical considerations to ensure a sustainable and ethical future for the next generation.