Plot

When missile technology is used to enhance toy action figures, the toys soon begin to take their battle programming too seriously.

Fifteen-year-old Alan Abernathy, the son of a toy store owner, tries out some new action figures: The Commando Elite versus The Gorgonites. But three months ago, a toy company believes it is onto something when it employs the latest government military technology in a series of action figures, enabling them to talk. They underestimate the power of the special micro chips they've employed, however, as the two opposing sides of the toy line start thinking for themselves and engaging in real combat! The Commando Elite vow to wipe out the Gorgonites in a suburban neighborhood. Alan, his neighbor Christy Fimple, (on whom he has a massive crush) with the help of the kind Gorgonites, must protect his home and family from the Commandos.—Anthony Pereyra {hypersonic91@yahoo.com}

After military manufactured computer chips are put in a line of action figures, they end up with minds of their own and try to invade an Ohio suburb, and do battle with another line of toys that have the same chips.—Mystic80

Alan, son of a toy store owner, tries out some new action figures: The Commando Elite vs. The Gorgonites. What he does not know, is that both sets of toys were designed to move, talk, and play back. The Commando Elite's purpose is to destroy the Gorgonites. Unfortunately, the toy designer who was responsible for the programming, bought highly intelligent military computer chips that are usually used for steering missiles, and are able to learn. Now, the Commando Elite, led by Major Chip Hazard, is up to destroying the Gorgonites, led by peaceful Archer, who hide in Alan's parents' house. Now, a battle, in which the destructive ability of creative computer chips against creative computer chips with a different attitude comes to light, is about to begin.—Julian Reischl <julianreischl@mac.com>

The film begins with GloboTech Industries acquiring the Heartland toy company, CEO Gil Mars tells remaining toy designers Larry Benson and Irwin Wayfair to develop actual live-action toys capable of "playing back". Mars selects the action figures the Commando Elite for the project and educational toys the Gorgonites for their enemies. After Mars forgoes any safety testing and sets a short production time, Benson uses Irwin's password and chooses GloboTech's overly powerful, X1000 intelligent AI munitions microprocessor integrated circuit to control the toys.

Teenager Alan Abernathy signs off for a shipment of the toys at his family's toy store without his father's consent. He and a delivery truck driver named Joe investigate the toys introducing the Gorgonites' leader Archer and the Commando Elite's leader Chip Hazard. The daughter of Alan's next-door neighbor and love interest, Christy Fimple, buys Chip as a birthday present for her brother Timmy. After Archer sneaks to Alan's home in Alan's backpack, Alan realizes that he is a sentient being, but in the meantime, the Commando Elite awaken and apparently destroy the Gorgonites in the toy store. Alan calls the company and fills in a complaint.

Later when Larry and Irwin listen to Alan's voice mail, they wonder how Alan got the toys since they were only supposed to be released at a later date, causing Larry to conclude that they are dealing with industrial espionage. Larry tries to ignore the problem until he admits he ordered the AI chips, and he used Irwin's password to get the AI chips. Irwin is terrified to discover that the X1000 were originally designed for military purposes. Larry and Irwin head to the facility that made the munitions chips and learn that the X1000 chips can learn and grow based on their programming and they can also overcome their programming. However, they cannot stand an EMP since the shielding required to protect the chips was not cost effective, which caused the government to shut down the project.

Meanwhile, Chip and his squad pursue Alan to his home and attempt to kill him and Archer. Alan is attacked by Nick Nitro, whom he mortally wounds. The next day, Alan and Archer find the rest of the Gorgonites in a dumpster. At home, Alan learns that the primary goal of the Gorgonites is to seek their homeland Gorgon which they mistakenly believe to be Yosemite National Park. The Commando Elite aware of Alan's interest in Christy upon intercepting a phone call occurring between them, invade the Fimples' house, drug Christy's parents with sleeping pills, tie up and gag Timmy and place him in a closet, turn Christy's collection of Gwendy dolls into auxiliaries and wait for Christy. She comes back from a date and is finally captured herself with the dolls, who declare that "it's their turn to play with her." After hearing her scream, her boyfriend runs up to see her being held down by the dolls, tied with ropes, and gagged.

Before he can do anything, the Commandos attack him, causing him to run out of the room. Chip asks Christy if she is scared; he states "you'd have to be crazy not to be scared" causing her to look up in dread. They send a video message to Alan, telling him to surrender the Gorgonites or Christy will die. Alan and Archer distract the Commandos and sneak into the Fimple house to save Christy, who warms to Alan for his courage. She is tied to a chair and gagged with duct tape, but Archer frees her. They are then pursued down the street by the Commando Elite in heavily armed kit-bash vehicles, but they are all destroyed during the chase - except Chip who locates Joe's truck full of recalled Commandos.

At Alan's house, Irwin and Larry seek out Alan after monitoring his phone call about the dangerous nature of the toys. Stuart punches Larry for the Commando Elite almost killing Alan. Chip attacks the house with more Commandos equipped with large numbers of improvised vehicles and weapons, and a battle breaks out between the Commando Elite and the humans inside. During the battle, the humans learn they can fry the toys' chips with an EMP blast. Alan heads out to destroy a nearby power-line to overload it and create such a pulse; Christy, Irwin and Larry head to the Fimples' house to turn on all of the electronic items inside and wedge the power transformers open to reinforce the pulse. The normally peaceful Gorgonites exit the house and fight back against the Commando Elite. Chip flies to the top of the power-line pole to stop Alan, where he briefly battles and defeats Archer. But just as Chip claims victory, Alan seizes Chip and jams him into the power-line, triggering an EMP blast which kills Chip along with all of the remaining Commando Elite.

The next day, while the police and firefighters are cleaning up, Gil arrives in his helicopter. He bribes Joe, the Fimples, and the Abernathys into silence and orders Larry and Irwin to prepare the Commando Elite for military missions in South America. Gil is disappointed that the toys will never be a big hit in the toy stores. Amongst the craziness of the aftermath, Alan and Christy part on highly amicable terms, and Alan later discovers that the Gorgonites have screened themselves from the EMP blast by hiding underneath the Fimples' large satellite dish.

The Gorgonites are surprised that they finally won the war against the Commando Elite. The film ends with him accompanying them into Yosemite National Park where he sends them out in a large toy boat from his father's store to find their island home of Gorgon.