Porn Production Losing Ground on Technology

"There is definitely a lot of sensitivity and growing awareness of the effects of the revenue stream, which has primarily come from DVDs, now shifting to other sources," Avi Bitton, chief technology officer for adult entertainment company Wicked, said. "It changes everything."

Wicked works with FyreTV, but Bitton said it tries to be compatible with as many systems as possible.

The adult industry is the one to really drive certain technologies, Rob Enderle, principal analyst with the Enderle Group, said. But he indicated that recent technological changes have thrown it a curve ball.

Convergence represents a massive change in many industries, including adult entertainment, Enderle said.

It opens up the market, which creates opportunities, but ultimately results in a smaller overall market.

"It's like musical chairs," he said. "When the music stops, you wonder who's going to be left standing."

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