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When porn and e-cigs get together, it gets cloudy

Deon Roberts, editor//June 24, 2011//

When porn and e-cigs get together, it gets cloudy

Deon Roberts, editor//June 24, 2011//

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AEBN is a Charlotte-based company that streams porn movies on the Internet. It’s perhaps an odd fit in Billy Graham country, and maybe that’s why Meck Times reporters haven’t been granted access to interview owner Scott Coffman about his company.

The last thing AEBN wants, I suppose, is to draw more attention to itself here in Charlotte. But it’s kind of hard to remain a secret when, at least according to Wikipedia, you’re “home to one of the world’s largest adult content libraries” and you reach “approximately 4 percent of the world’s population every day.”

AEBN, Wikipedia goes on to say, “revolutionized” the porn world with its video on-demand model that allows customers to purchase adult content by the minute. Last year, AEBN was an XBIZ Award nominee in the VOD category.

The company does more than adult movie distribution. It’s diversified into such products as RealTouch, which is described on the product’s website as a “synchronized on-screen sex toy.”

The North Carolina Secretary of State’s website says AEBN has an office at 500 Archdale Road. According to Wikipedia, the company was founded in 1999.

Fast-forward about 10 years, when blu Cigs, an electronic cigarette maker, came into existence.

Australia native Jason Healy founded blu in the Queen City, where it’s still based. Its headquarters are at 401 N. Tryon St.

The 36-year-old Healy tells me he played basketball professionally down under, where he got into the mobile phone business. You remember those late night TV ads inviting viewers to text a number and get a ringtone? Remember text dating? Well, Healy was involved in all of that. He was also involved in the manufacturing of sports equipment in China.

Then Healy became interested in the e-cig business. He said he was in a Charlotte bar, Brazwells, and saw one of the managers puffing on an e-cig. Inspiration struck.

“Holy crap,” Healy said. “Why aren’t these things everywhere?”

But, apparently, the Aussies have some pretty strict regulations regarding the cigarette industry, so Healy drifted like smoke to the U.S. to launch blu. It’s incorporated in Nevada, because, Healy said, that’s what his accountants told him to do.

To market his newborn company, Healy turned to AEBN. It made sense: He didn’t have the money for print advertising, AEBN’s online reach was wide and the company was based in Charlotte.

But blu’s former advertising relationship with AEBN has had an interesting twist. There’s now some ambiguity on the Internet about whether the companies are one and the same.

Healy thinks he knows the major source of the confusion. One of his former employees is perpetuating the myth – via blog postings – that AEBN created blu cigs, Healy says. It’s an attempt to extinguish blu, he says.

Healy also claims the disgruntled worker went to work for a competitor and used blu’s trade secrets to get that job.

Healy says the Internet falsities are more of an annoyance than a hindrance to his business.

“Schoolyard sort of stuff,” he said. “Nothing that keeps me up night, mate.”

Although AEBN is not the creator of blu Cigs, Coffman is an investor in blu. Healy says the porn mogul is one of 20 investors in the company. Healy won’t divulge the names of the other investors in the privately held company.

About 40 people work for blu. Healy says the company will hit $30 million in sales this year.

I know less about AEBN. According to manta.com, the company has estimated annual revenue of $500,000 to $1 million and employs a staff of five to nine.

A lawyer for AEBN hung up on me this week when I started asking questions about the company.

Editor Deon Roberts can be reached at [email protected].

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