Munich Startup
Coby: ‘Emotional Tech’ for children with special needs

Coby: ‘Emotional Tech’ for children with special needs

Helen Duran

Helen Duran

The Munich startup Coby is developing more than just a high-tech cuddle toy: an AI-powered plush companion that listens to children with special challenges, gives tips, and relieves parents. Founded by David Cañadas Link (CEO/CPO), Philipp Steudle (CFO/CMO), and Reza Roustaei (CTO/COO), co-founder Cañadas Link gives us an insight into the plush toy that combines emotions, technology, and everyday support in this interview.

September 22, 2025

4 min. read time

Munich Startup: What does Coby do? What problem are you solving?

David Cañadas Link: Coby is developing an AI-powered plush companion for children with special challenges and their families. Many children – for example those with chronic illnesses, ADHD, or separated parents – feel overwhelmed, misunderstood, or alone in everyday life. Coby offers practical tips, emotional support, and playful routines – compliant with data protection, child-appropriate, and always available. In doing so, Coby actively involves parents in the process.

The origin story of Coby: personal experience as a driving force

Munich Startup: But that already exists, doesn’t it?

David Cañadas Link: No. There are toys that entertain, and apps that teach knowledge. But a real coping buddy that understands children, listens to them, and at the same time relieves parents – that doesn’t exist yet. Coby combines play, empathy, and AI-supported coping strategies in a new category: “Emotional Tech for Children”.

Munich Startup: What is your founding story?

David Cañadas Link: The idea emerged in 2020 when I was diagnosed with Stargardt disease – an incurable eye condition. What was missing was not medical answers, but everyday support: How do I adapt, how do I communicate my limitations, how do I live with it? Together with the patient association ProRetina and inspired by my experience, it became clear: children and families need a companion who is always available. That’s how Coby was born.

Challenges for Coby: data protection, clinical requirements, and design

Munich Startup: What were your biggest challenges so far?

David Cañadas Link: One of the biggest challenges was combining clinical requirements with data protection and child-appropriate design – especially with regard to the application of new AI technologies. We had to create a system that is secure, locally compliant with data protection, and at the same time playfully attractive for children. Also: the balancing act between rapid prototyping and high quality standards.

Munich Startup: Where do you want to be in one year, and where in five years?

David Cañadas Link: We have already received over 170,000 euros in non-dilutive funding through EXIST and AI+Munich and won several awards including the Strascheg Award, Digicon Award, and the Munich Impact Startup Award. Our community on TikTok already includes over 13,000 parents who actively use our coping tips.

In one year, we want to conduct extensive testing with our first 20 to 30 prototypes with experts, families, and schools, who will actively test the prototype in everyday use and deploy it as a support system.

Subsequently, we want to conduct a comprehensive clinical study with the Haunerschen Children’s Hospital of LMU on its use in a clinical context – with the goal of testing Coby as a medical product and further optimizing the AI.

In five years, we want to support thousands of families in everyday life with Coby – at home, in schools, and in clinics, across Europe.

Munich as a support environment and startup location

Munich Startup: How have you experienced the startup location Munich so far?

David Cañadas Link: Munich offers us a strong environment: With the start and advice from the Strascheg Center for Entrepreneurship, the joint development of the EXIST proposal with the Hochschule München, the valuable support from the Munich Impact Incubator, and the additional funding from AI+Munich, we have received enormously valuable support and mentoring (including from Professor Sebastian Dünnebeil). Additionally: a strong network of funding programs and investors.

Munich Startup: Outsource or do it yourself?

David Cañadas Link: We develop the core technology and AI models, as well as the underlying interaction design and software architecture ourselves to guarantee quality and security. For hardware and plush development, we work with specialized partners – where expertise and production capacity are crucial.

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