Touch screen genitalia! You know that's something that WILL be exploited, and when it is, it will take off. Remember movies over the 'Net? Wasn't Pr0n the first thing to come out with movies that people actually WANTED to watch over the 'Net? Same thing with photos.
Mock me if you will, but when the sex industry realizes what can be done with this sort of thing, there will be no gains. Not for a long time.