opinion

2014: A Game of Technological Leapfrog

With 2014 coming to an end, I found myself considering the major events and factors that influenced the adult entertainment industry during the past year. I ended up focusing on the latest technological impact on adult content consumption, distribution and production, while still considering the significant political events of the year.

These events included the evolving U.K. scene, which caused changes in billing practices and other operational aspects for companies serving this audience — while once again bringing the thorny topic of online age verification into the forefront. Another major event was the changes at Google, which have so dramatically altered the fortunes and business practices of a number of firms, but it is the technical factors that may be the most important, as they impact more operators and media market segments — including mainstream media.

4K is still a mystery to many consumers so it is little wonder that cash strapped producers are also warily eyeing the value of investing in 4K workflows when Apple is already pushing 5K on consumers, and 6K is happening on the higher end as we move towards 8K.

Whether it is a matter of denial about the situation they find themselves in or a matter of falling back on their career comfort zones, many adult website operators will tend to seek a technological solution to what is actually a marketing or other problem, and I’m no different.

Technology could address the supply side through better prevention and policing of piracy, and on the demand side through greater anonymity and less friction in transaction processing — but these steps are not a panacea for all that ails the industry. On the latter front, the growing number of cryptocurrencies and their potential use for porn purchases, were another technological highlight of 2014.

Bitcoin and its adult-centric counterparts, Titcoin and Wankcoin, may have made a lot of headlines and stirred a lot of buzz in the adult webmaster community, but a year into their adoption, many merchants are reporting flat sales at best — with a commonly reported consumer sentiment of customers wishing to support sites that accept Bitcoin — but not necessarily wanting the porn they paid for.

Another example of technological leapfrogging is in the realm of virtual reality, where Oculus Rift made many waves in 2014 — catching the attention of porn producers and consumers alike, with its potential to revamp the digital content industry. Now that the firm is owned by Facebook, however, restrictive terms and conditions of service may keep sexually explicit adult fare at bay — much akin to the way that Apple prohibits porn on its iTunes distribution platform — or indeed, how Facebook prohibits porn on its social network today.

Rift’s technology is tantalizing, but even before it is ready for market, Sony’s Morpheus offers a more polished system as an alternative — with the added benefit of its parent company owning one of the world’s largest content libraries; so expect seamless media integration with Morpheus (although adult may find a similarly cool reception from the corporate giant), and content licensing challenges for Rift.

But even as these fledgling devices take their first awkward steps into the commercial arena, Microsoft’s RoomAlive eliminates the need for having to wear a bulky helmet, bringing “comfortable” immersion a step closer. The user experience of this liberating technology can be seen as the difference between top videogame consoles, such as Sony’s PlayStation — and the family friendly Nintendo Wii, which may not have the quality potential of the PlayStation platform, but typically provides a more active and engaging user experience, due to the nature of its inertial controllers and the “get off your couch” games it offers.

As for RoomAlive, I think early on the killer app for adult will be a VirtualGirl-style experience, where the dancing digital model is freed from a user’s computer desktop to dance away, life-size and in your home. If the files can be kept from pirates, this could be a huge future moneymaker for adult.

I expect both wearable devices such as Rift, as well as “Holodeck” imitators such as RoomAlive, to soon offer an affordable and fairly realistic virtual reality experience — in living rooms for less than $1,000 — and to deliver mind-blowing quality at the upper end of the premium home theatre scale, where gaming fanatics and videophiles won’t settle for second best when it comes to visual technology; and the pricing extends to what the market will bear.

Speaking of upgraded visual technology, it does not seem that long ago that we shifted from SD to HD, which is old-fashioned now — as curved screens and higher resolution take over, bringing Ultra HD to the forefront. Heck, even Walmart now offers a 55” 4K Ultra HD TV for less than $1,400, fueling the mass market adoption of 4K video, if the consumer confusion barrier can be overcome.

4K is still a mystery to many consumers so it is little wonder that cash strapped producers are also warily eyeing the value of investing in 4K workflows when Apple is already pushing 5K on consumers, and 6K is happening on the higher end as we move towards 8K. With this kind of environment, investing in better equipment may be better left until 2016 — but if you absolutely must have 4K on the cheap then choose a new smartphone — you might be amazed at the image quality that these mobile 4K devices deliver.

Technological leapfrogging is leading us to an environment where change is happening so quickly that consumers and producers don’t have a chance to adopt technology when it is mature, and then live with it for a while before having to upgrade to the “bigger, better, faster, more,” version. Desperation for new sales will likely mean an escalation of the rapidity of technological innovation — rather than a decline — so stay tuned for what is likely to be an even more eye-opening 2015.

Related:  

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More Articles

profile

Vendo CEO Mitch Platt Reflects on 20 Years of Lessons and Evolution

More than 20 years ago, three entrepreneurs in Barcelona began gathering over beers to pitch, dissect and routinely destroy one another's business ideas. The ritual was simple: One person arrived with a concept, while the other two tried to expose every weakness. Any proposal that survived earned another look. Most did not.

Jackie Backman ·
opinion

How to Avoid the Hidden Risks of AI-Generated Legal Documents

Artificial intelligence can write a contract in seconds, but that does not mean it can write the contract your business actually needs. Across the adult industry, operators, creators and producers are increasingly using generative AI to prepare model releases, performer agreements, privacy policies, takedown notices, employment documents and responses to regulators. The appeal is obvious: Legal work is expensive, AI is fast and the resulting document often looks impressively professional. That polished appearance is exactly what makes the practice dangerous.

Corey Silverstein ·
opinion

How Rolling Reserves Affect Cash Flow and Merchant Stability

You log in to your payment processor’s dashboard, discover they are withholding 10% of your sales, and immediately assume something has gone wrong. In reality, everything is working exactly as intended.

Jonathan Corona ·
opinion

What Federal Age Verification Could Mean for Adult Websites

Our industry has grappled with a patchwork of confusing and burdensome state age verification laws for the past couple of years. But that landscape could change quickly after the House passed the Kids Internet and Digital Safety (KIDS) Act (H.R. 7757) by a vote of 267-117, marking a significant federal step into this space.

Lawrence G. Walters ·
opinion

The Website Footer Requirements Every Adult Merchant Should Know

Since I started in this business 25 years ago, I've watched website footers evolve from a simple collection of links designed to help with SEO into important tools for meeting compliance and regulatory requirements, improving the customer experience and reducing chargebacks.

Cathy Beardsley ·
opinion

Why E-Payment Diversification Matters for Merchant Stability

Match payment methods to your customers. Look at where your customers are located, how they prefer to pay and which products they purchase. A business with significant European traffic may benefit from SEPA or Pay by Bank, while a subscription-based business may prioritize ACH or cryptocurrency. Add the payment methods your customers are most likely to use, as not every option is available.

Jonathan Corona ·
trends

AI at Work: The Tools and Practices Powering Creativity, Commerce and Compliance

For years, artificial intelligence felt like the plot of a science-fiction movie. Pop culture gave us Skynet from “The Terminator,” the replicants of “Blade Runner” and countless visions of machines replacing human creativity altogether. AI was cast as either humanity's next great breakthrough or the beginning of a dystopian future.

Jackie Backman ·
opinion

Key Questions Online Merchants Should Know About PCI Compliance

Choosing a payment provider involves more than comparing features and pricing. It's also about trusting that your customers' payment information is being handled securely. Every August, Segpay is recertified as a Level 1 PCI-compliant service provider, a milestone the company has achieved for the past 20 years. Having helped write Segpay's original PCI policy documents more than two decades ago, I've seen firsthand how PCI compliance has evolved.

Cathy Beardsley ·
profile

New Moon Network's Savannah Sly on Turning Lived Experience Into Advocacy

Savannah Sly is the first to admit she didn't always understand sex work. At 18, she was an art student in Boston, working part-time at a box office and, as she puts it, "broke as a joke." While looking for ways to make ends meet, she often found herself browsing Craigslist's adult ads, intrigued by the women advertising their services.

Jackie Backman ·
opinion

How to Safeguard Your Website Against CIPA Claims

There is a new wave of lawsuits targeting online businesses, including adult websites. These suits involve the California Invasion of Privacy Act (CIPA), and they are becoming increasingly prevalent. In fact, three different clients of my law firm were recently served or threatened with CIPA lawsuits — all in the same week.

Nick Zargarpour ·
Show More