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Think this "free hosted galleries" business model is pretty much a case of sponsors pissing in their own traffic pool. They are so intent on making better galleries than their competition, they have created a situation where there is not much incentive to buy porn anymore.
In spite of the claims of "great conversions", you can often make more pointing adult names to a parking service now than you can sending traffic to sponsors. Thats why parking services are getting so popular with domain owners.
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