OK, so maybe the Bugsby Reading System (compare prices) from V-Tech isn't a toy in the traditional sense, but your preschooler will certainly have a great time with it and, even better, they'll learn as they "play."
The interactive learning system uses books and cartridges (sold separately) to help your preschooler learn to read. The technology isn't new -- the child touches the pen to the page and hears words, either as a story or individually, depending on where she touched. If she places the pen on a picture, she'll here that as well. The starter set comes with Bugsby which is the pen itself and a story about him, but other books include tales about favorite characters including Dora and The Backyardigans.
There are a lot of these types of devices on the market -- with good reason. They work well and kids seem to like them. They aren't overly expensive. My problem is storage -- the cartridges are small and can very easily be lost.
Does your child have a reading system toy?
Image: PriceGrabber/V-Tech