SAN FRANCISCO — as to what is likely to be a record in adult-entertainment industry, Penthouse mag’s author claims they compensated $500 million for a Silicon area business operating one of the greatest intimately focused social-networking web sites.

The deal launched Wednesday for Palo o-based numerous adds AdultFriendFinder to Penthouse’s portfolio since it increases furthermore in to the fast-growing field of social support systems directed by MySpace and myspace.

“this is where the money try,” stated Marc Bell, Chief Executive Officer of Penthouse mass media cluster.

The offer appear given that $13 billion adult-entertainment business changes much more info on the internet amid climbing opposition and a leap in profit and renting of X-rated DVDs and relevant fare.

Penthouse hopes to succeed by gobbling right up as numerous adult-focused businesses as is possible, Bell mentioned, with an eye fixed toward using Penthouse public. He/she and his awesome partner, Daniel Staton, bought Penthouse in 2004 in a bankruptcy court reorganization.

Experts on sex industry mentioned they are able to maybe not recall a great deal larger than the one revealed Wednesday. “probably, it really is a record,” states Frederick way, author of Obscene earnings: The business owners of Pornography during the Cyber era. “it certainly underscores the change from standard mass media to newer news.”

With Various, Penthouse states it’ll have income of $340 million this current year, that makes it worldwide’s biggest adult-entertainment team. Way said the deal are another test to Playboy companies, plawhich Hugh Hefner established in 1953.

Playboy said it is far from worried about the Penthouse offer as the providers are in various marketplace.

Today led by Hefner’s child, CEO Christie Hefner, Playboy features varied into non-sexual businesses such as household products as humdrum as shower curtains, and PlayboyU, a unique myspace and facebook for university students. That webpages has no nudity, spokeswoman Martha Lindeman states. Playboy reported $330 million in sales and $2.3 million in earnings for 2006.

Various was actually established in 1996 by Andrew Conru, an entrepreneur with a doctorate in physical technology style from Stanford institution. It has about 300 employees and most 25 social networks, such as non-sexual internet dating sites for Spanish speakers, seniors as well as for Christians.

AdultFriendFinder says oahu is the biggest “gender and swinger personals area.” It says 260 million registered users and more than 1.2 million month-to-month members. AdultFriendFinder website subscribers spend up to $50 30 days.

Last week, different settled a government Trade percentage criticism this “foisted sexually specific online pop-up advertising on unwitting buyers,” the FTC mentioned. Different couldn’t acknowledge breaking national legislation. They consented to offering this type of ads only to buyers getting them or agreeing to look at them, the agency mentioned.

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