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“AI Companions Won’t Scale”: Why SWAG Is Doubling Its Team from 70 to 140 Employees Instead
Photo by Hou Chun-Wei
You might expect an adult content platform to be one of the strongest advocates for AI companions. But SWAG CEO Sam sees it differently.
His view is simple: AI companions can generate revenue, but they struggle to scale. Once paid conversations reach a certain point, there are few opportunities to create new spending scenarios. Instead, Asia's largest live-streaming platform is betting on something AI cannot easily replace—real human relationships.
For SWAG, the feeling of being remembered and genuinely responded to is what keeps users coming back and willing to pay.
Few people realize that Asia's largest adult live-streaming platform was built in Taiwan.
At the time of this interview, SWAG is undergoing the largest organizational expansion in its history, growing from around 70 employees to more than 140 this year. While many companies are using AI to reduce headcount, SWAG is taking the opposite approach: hiring more people while leveraging AI to increase productivity, allowing the company to scale both its operations and innovation.
Sam believes AI is more than just a productivity tool. It is already reshaping SWAG's recommendation engine, internal workflows, and the way creators interact with users. At the same time, he emphasizes that AI can accelerate operations—but it cannot replace genuine human connection, which remains the platform's core source of value.
Why AI Companions Won't Work Here
Sam remains cautious about today's AI companion products.
He believes AI companionship can satisfy certain user needs and generate revenue. However, if the business model relies solely on paid conversations, its growth potential is inherently limited.
One reason is that younger users generally have relatively easy access to real-world social interactions, making long-term paid conversations with AI a niche behavior. More importantly, once an AI conversation reaches a certain stage, there are few additional ways to expand monetization.
Human relationships, by contrast, naturally evolve. From getting acquainted to waiting for replies and gradually building emotional connections, users become increasingly invested because they feel noticed and remembered. That emotional progression is difficult for AI to replicate.
"What we're really offering is a platform for relationships," Sam says. "Users aren't simply paying for content—they're paying because they've built familiarity with creators, sometimes even friendships."
Photo by Hou Chun-Wei
AI Increases Productivity—So SWAG Is Hiring More People
Rather than replacing employees, Sam sees AI as a multiplier of human productivity.
"If AI allows one person to do the work of three, then hiring more people means our overall output grows exponentially," he explains. "That allows us to move much faster than our competitors."
This philosophy is already shaping SWAG's operations. Tasks that previously required engineering support can now be handled by non-technical teams using AI. Human Resources and Administration teams, for example, have begun building lightweight internal tools to automate routine processes.
Users are also experiencing AI through SWAG's recommendation system.
The platform currently serves approximately 300,000 monthly active users, with nearly 20% paying subscribers. Recommendation accuracy directly affects how quickly users discover content they enjoy—and whether they choose to spend more.
According to Sam, SWAG has replaced its traditional recommendation engine with an AI-powered system. Instead of simply tracking which creators users previously watched, the new model analyzes viewing behavior in greater detail, such as where users pause, how they engage, and what types of interactions they prefer, enabling significantly more personalized recommendations.
However, integrating AI isn't always straightforward.
SWAG previously experimented with using AI to accelerate software development. While development initially progressed rapidly, maintaining and stabilizing the code proved challenging.
"It can build things quickly," Sam says, "but if no one maintains it afterward, maintenance becomes an enormous cost."
As a result, SWAG now evaluates AI adoption not only by development speed, but also by the engineering effort required for long-term maintenance and integration.
Growing Beyond Adult Content Through "Green Streaming"
While AI improves operational efficiency, sustainable growth requires attracting more users.
Founded as an independent company after separating from 17 Live in 2017, SWAG is approaching its tenth anniversary and entering a new stage of transformation.
"We're trying to make the funnel bigger," Sam says.
The strategy is to attract a broader audience through mainstream, non-explicit live content and creators from more diverse backgrounds. This initiative, known internally as Green Streaming, includes singing, dancing, casual conversations, tarot reading, and other talent-based livestreams without explicit adult content.
"One day, users might even find English, Japanese, or Spanish lessons on SWAG," Sam says with a smile. For him, Green Streaming isn't about abandoning the platform's identity—it's about expanding its audience.
He compares the platform to a funnel. Green Streaming widens the top of the funnel by attracting users who may never have considered joining SWAG before. Whether those users eventually become paying customers, however, still depends on whether creators can build meaningful relationships with them.
Sam acknowledges that this business model has limitations. Green Streaming lowers the barrier to entry, but it does not make it easier for creators to succeed.
While this content can generate revenue, users still expect engaging personalities, attractive presentation, and strong community-building skills. Creators who fail to differentiate themselves will continue to face challenges.
As Content Becomes Easier to Copy, Relationships Become More Valuable
From AI-powered recommendations to expanding Green Streaming, SWAG continues pushing the boundaries of what its platform can become.
Yet Sam believes the company's real value has never been content alone.
As videos and livestreams become increasingly easy to copy, redistribute, or even generate with AI, content itself becomes less scarce. The long-term success of SWAG will depend not on the volume of content it offers, but on whether it can transform new users into lasting communities built around authentic creator-user relationships.