After closing her Placerville record shop for the evening, Tori Tooms and her employee Robbie Reynolds pay a visit to their friends Lahna and Jay at a nearby novelty store. This shop showcases a recently recalled animatronic, RoboSanta+, made with advanced military-grade technology. The four friends share some whiskey, but soon, Tori and Robbie head off to a local bar. Meanwhile, Lahna and Jay take their intimacy to the next level in the store, unwittingly awakening the dormant menace of the Santa robot, which swiftly malfunctions and turns into a murderous stalker.
Later at the bar, an awkward moment unfolds between Robbie, Tori, and Sheriff Monroe. Afterward, Robbie drives Tori home for more drinks and an intimate rendezvous. Unknown to them, the deranged Santa is on their trail. As chaos ensues, Santa embarks on a violent spree next door, brutally killing a couple and then their innocent child. From her kitchen window, Tori witnesses the horrific scene and screams for Robbie to call the police.
In a panic, Tori alerts her visiting sister Liddy and Liddy's husband Mike about the terrifying Santa. Just as Liddy is alerted, the murderous Santa cuts off the power to their house and breaks in, twisting Liddy’s neck before violently dispatching Mike with a fire axe he had previously stolen from the store.
With no time to lose, Tori and Robbie rush outside to his car. In his haste, Robbie accidentally crashes into Tori's neighbor Benny's vehicle. Benny storms out, only to meet a gruesome fate at the hands of Santa. Just as Santa delivers a deadly blow to Robbie, Officer Smith arrives in response to their desperate 911 call, attempting to put an end to the chaos with his shotgun. Although he seemingly defeats Santa, the relentless robot reclaims the weapon and shoots the officer.
In a daring attempt to escape, Tori commandeers the officer's patrol car, crashing it into Santa and running him over. Yet, the sinister robot endures. As she drives away, Tori flags down other responding officers, only to be unexpectedly arrested by Officer Bobby Smith. Taken back to the police station, Sheriff Monroe is skeptical of Tori's tale about the killer Santa. Just then, an ambulance outside explodes, creating enough distraction for Santa to wreak further havoc, leading to the demise of both Monroe and Smith.
In a moment of sheer determination, Tori manages to escape the station in an ambulance with Santa in pursuit. During a tumultuous crash, she jettisons Santa through the windshield and starts a fire which causes the robot to explode. Seeking refuge back at her record shop, she faces yet another confrontation with Santa, who has now been reduced to merely a metal skeleton. A fierce battle ensues inside the store, culminating in Santa’s circuitry finally overloading, allowing Tori to step out into the light of a new dawn.
