Jan 29, 2025

Creating AI Books for Children and Navigating EU Regulations - Coffee with Developers - Matthias and Dima from Oscar Stories

Kids are the worst critics. See how we built an AI storytelling app they love, moving from the GPT-3 API to fine-tuning open-source models.

#1about 1 minute

Creating personalized AI-powered bedtime stories for kids

The app allows parents to create personalized bedtime stories where their children are the main characters, with options for audiobooks and printing.

#2about 1 minute

Finding inspiration from family and godchildren

The idea for the app came from observing that the parents of their godchildren struggled to invent new and creative bedtime stories.

#3about 3 minutes

Building the first MVP with GPT-3 and React Native

The team quickly built a minimal viable product using the GPT-3 API and React Native to get to market fast and gather user feedback.

#4about 2 minutes

Why a mobile app was essential for the product

A mobile app was chosen over a web app to provide a more convenient and responsible user experience, including parental controls and managing screen time.

#5about 2 minutes

Expanding language support and growing internationally

The app expanded from English and German to include languages like Brazilian Portuguese, which became its largest market, with plans for Asian expansion.

#6about 3 minutes

Implementing AI guardrails for child-appropriate content

To ensure safety, the app uses input and output controls, a user feedback system, and is fine-tuning an open-source LLM for child-appropriate language.

#7about 4 minutes

Moving from entertainment to educational content

The product is evolving to include educational themes like morals and anxiety, with a new app called "Laura" planned to teach STEM subjects through storytelling.

#8about 5 minutes

Debunking myths about EU startup regulations

Contrary to popular narratives, harmonized EU regulation is seen as a benefit, while national rules and investor mindset are bigger hurdles than the EU AI Act.

#9about 6 minutes

How a TV show appearance fueled bootstrapped growth

A feature on an Austrian "Shark Tank"-style show led to a massive spike in downloads, allowing the company to remain bootstrapped without VC investment.

#10about 3 minutes

Leveraging a "made in Europe" identity for growth

User testing revealed that customers are often excited to support a locally-built European app, highlighting a potential market advantage.

#11about 3 minutes

Focusing on collaboration and Asian market expansion

The future strategy involves launching the new educational app "Laura", expanding into Asian markets, and actively seeking collaborations with educational institutions.