According to Revolution Magazine, "Other innovations include being able to "tickle" -- say for example -- your Barbie online and it will giggle in the real world or a grandmother would have the ability to record a story that the toy can read to her grandchild hundreds of miles away."
An interesting application which the platform also allows for is the connection to social networks from the physical toy - which would allow children to have a physical avatar to their online presence whilst interacting with each other.
Via - Revolution Magazine