AI Adoption and Monetization

DFL Team
Sep 30
5 min read

Updated: Oct 1

Lessons from the Dark Forest Labs AI Mastermind

At the TES Affiliate Conferences in Prague on September 14, 2025, Dark Forest Labs convened an “AI Mastermind” panel to explore how artificial intelligence is transforming traffic, marketing, and product innovation. The conversation featured leaders from TrafficPartner, Candy AI, Siren AI, Joi AI, and Lovescape. While their core businesses are rooted in AI companions and digital engagement, the insights carried relevance for anyone working in performance marketing, online traffic, or AI-driven consumer products.

From Hype to Hard Adoption

Two years ago, AI companions and generative content were often dismissed as gimmicks. Today, they represent some of the fastest-growing applied use cases for artificial intelligence. Dark Forest Labs founder and panel moderator, Tal Bar Cohen, reflected on this shift, saying: “Back then, everyone said AI wouldn’t happen. Now we’re here, connecting the dots between tools, traffic, and monetization.”

This trajectory mirrors other verticals such as fintech, iGaming, and digital media, where skepticism gave way to rapid scaling once early experiments proved sticky and monetizable.

User Segmentation as a Growth Lever

One of the sharpest strategic insights from the panel was the importance of user segmentation. TrafficPartner’s CMO, Moritz, outlined three key groups. First are the curious experimenters who test a product once, then disappear. Second are the dreamers, users who actively seek immersive and personalized AI-driven experiences and are willing to spend. Third are seekers, those pursuing fast, transactional interactions similar to dating or lead-generation funnels.

The takeaway for anyone building with AI is that growth depends on recognizing which of these segments deliver true long-term value and then designing funnels around them.

Closing the Expectation Gap

Candy AI’s Hugo Durand emphasized that user expectations are finally catching up with product capabilities. Just a year ago, many platforms struggled to deliver on what customers imagined. Advances in video generation and interactivity have now narrowed that gap, turning curiosity into retention - and retention into monetization. “A year ago, there was a gap between what users expected and what AI could deliver,” he said. “Now curiosity is becoming real closure with characters. Video is the big shift this year.”

This dynamic is not unique to AI companions. In gaming, entertainment, and e-commerce, user adoption accelerates once technology delivers experiences that align with what users thought they would be getting from the start.

From Companions to Ecosystems

Panelists also debated whether AI products should be seen primarily as scalable content engines or as interactive companions. Siren AI’s Daniel Keating argued that current products are only the seed of a much larger shift, with AI-generated content already approaching indistinguishability from human creators and robotics likely to play a role in the future.

“We’re blurring the lines between AI and reality. Today’s AI companions are just the seed. Soon, AI-generated content will be indistinguishable from human creators, and eventually, integrated with robotics,” he said.

Joi AI’s Alina Mitt added another dimension, noting that some users are turning to AI companions for judgment-free interaction that can even support real-world relationships. “Some users find AI companions help them maintain real-world relationships,” she explained. “They provide judgment-free engagement that can balance personal lives.”

Lovescape’s Daniel Lopez stressed that the industry must think beyond companionship to retain users over time, building entertainment layers and social dimensions that extend engagement. “If it’s only about companionship, growth will stall,” he said. “The future is about adding social and entertainment layers that retain users long-term.”

For marketers in any sector, the broader insight is clear: AI cannot remain a novelty. Sustainable value comes from building ecosystems of interaction, not one-off features.

Responding to the “Nano Banana” Moment

Several speakers reflected on how fast breakthroughs shift the baseline of what users expect. The recent release of Nano Banana’s video generation model is a case in point. What began as a research experiment is now the new benchmark for commercial products.

Siren AI sees real-time, cam-like AI video as achievable within two years, driven by new GPU architectures and less restrictive models from challengers like XAI. Lovescape has taken a pragmatic approach: rapidly adapting new tools into monetizable features, such as their recent rollout of voice-enabled characters that can sing.

Joi AI has gone a step further by positioning mainstream AI platforms like ChatGPT and Grok as direct competitors. Their high-profile “AI Fatigue” campaign in New York reframed AI companions as an antidote to the frustration of endless swiping on traditional dating apps.

The strategic lesson is clear. Independent companies can outmaneuver big tech by moving faster, by localizing mainstream innovation into niche-specific products, and by leaning into use cases that corporate platforms will not support.

Competing Outside Big Tech

The panel agreed on the importance of independence from the walled gardens of Google, Meta, and similar platforms. Large incumbents will continue to focus on safe-for-work applications. That leaves open space for agile players to innovate where big tech cannot or will not.

As Tal summarized: “We have creativity, tools, and freedom. Big tech won’t provide NSFW. That’s our opportunity.”

For performance marketers and product developers, the implication is that adaptability, niche focus, and speed are the competitive levers that matter most.

Strategic Themes from Dark Forest Labs

The panel dovetailed with broader themes currently under exploration at Dark Forest Labs.

Among them:

When Coders Meet Closers

What is missing between AI technology and performance marketing?

Let’s Talk Funnels 3.0

How can AI be sold beyond banners and video ads?

The Rise of DIY AI PersonasIs

AI becoming the new social platform?

Let Them Live Among UsCan

AI personas live across platforms the way humans do?

Marketing Itself

Will AI companions evolve into self-sustaining marketing agents?

These questions cut across sectors, touching on engagement models, interoperability, and the potential for AI to act not just as a product but also as a marketer.

Signals from the Market

The discussions in Prague echo larger market signals.

The AI in the affiliate marketing market is valued at USD 47.32 billion in 2025, with a projected CAGR of 36.6 percent toward 2028 (SEO.com).
A 2025 survey found that 88 percent of marketers now use AI in their daily work (SurveyMonkey, via Amra & Elma).
Influencer Marketing Hub’s 2024 AI Benchmark reported that 69 percent of marketers had integrated AI into operations, and over 70 percent believe AI can outperform humans in key tasks (Influencer Marketing Hub).
McKinsey’s latest research shows 92 percent of executives expect to increase AI investment in the next three years, with 55 percent planning hikes of at least 10 percent (McKinsey).
Adobe’s 2025 Digital Trends report highlights that 65 percent of senior executives see AI and predictive analytics as primary drivers of growth, and more than half already report gains in efficiency and content production (Adobe).

Together, these numbers underline the point: AI is no longer an experiment. It is already part of the operational core for marketers, and the companion and adult-adjacent sectors serve as proving grounds for how AI adoption and monetization might play out across industries.

Planting the Next Seeds

The AI Mastermind panel at TES Prague was more than a reflection on current products. It revealed an industry in motion, where adoption is climbing, monetization frameworks are still evolving, and the competitive advantage belongs to those able to connect coders with closers.

Dark Forest Labs will continue to serve as a working group for innovators who want to experiment, share knowledge, and shape the next generation of strategies.

Join the Dark Forest Labs community to stay ahead of the curve and help design the blueprints for AI’s role in traffic, marketing, and digital innovation.

Here’s a video recap of the panel: https://youtu.be/ZMuOA0448Hw