According to the Blu-Ray Disc Association, there doesn't appear to be a problem with the content that Joone and Digital Playground hope to provide on Blu-Ray. Marty Gordon, vice chairman of Blu-Ray Disc Association US Promotions Committee stated "The BDA welcomes the participation of all companies interested in using and supporting the format, particularly those from the content industry. We look forward to working with any content providers interested in providing their audience with [the] best possible high definition home entertainment experience." The BDA officially welcomes the adult film industry, but it appears that possibly the adult film industry may not welcome the BDA.
Many other firms within the adult film industry have stated concerns of the cost to release on Blu-Ray and say that only companies with deep pockets will be able to produce with any kind of real return. For the money aspect alone, it appears that more and more in the industry are turning to HD-DVD.
With Forbes estimating that the adult film industry has accounted for some $14 billion since 2001, its no doubt that the market is large enough to make a significant impact on which format becomes the standard. While its doubtful that this decision will signal an end to the format war between HD-DVD and Blu-Ray, it does put an interesting twist on whether or not Sony will learn from the Betamax mistake.
Source:
ARS Technica