Ottawa, Canada – Aylo and Ethical Capital Partners (ECP) released statements on Thursday, March 14, 2024, commemorating the first anniversary of ECP's acquisition of Aylo, a technology and media company that owns a portfolio of adult online entertainment properties. The statements emphasized ECP's focus on trust, safety, and ethical standards within the adult industry.

ECP's Mandate and Aylo's Operations

ECP, a Canadian private equity firm founded in 2022 and headquartered in Ottawa, specializes in investments in technology-driven sectors with legal and regulatory complexity. Sarah Bain, Partner and VP of Public Engagement for ECP, stated that the acquisition of Aylo a year ago aligned with ECP's mandate to invest in companies committed to continuously improving their ethical standards through technology investment and proactive interaction with ECP's team and advisors. ECP's most prominent transaction was its acquisition of Aylo, formerly MindGeek, in March 2023.

ECP stated that at the time of the acquisition announcement, it was confident that the Aylo team and all Aylo platforms operated with trust and safety at the forefront, in contrast to public perception of the industry. ECP also found that Aylo was meeting legal and regulatory requirements and working with law enforcement and regulators. ECP maintains this belief, stating that Aylo's day-to-day operations are well-managed and in capable hands.

From the beginning of their working relationship, ECP partners focused on two aspects: supporting the Aylo team to correct public perception of Aylo and investing in Aylo’s ongoing improvement of its Trust and Safety processes and procedures. Over the past twelve months, ECP engaged with law enforcement, advocacy organizations, and other stakeholders. ECP cited Aylo’s work with the United States Attorney’s Office, Eastern District of New York, as an example of this commitment. Following an extensive review spanning over 30 months, the U.S. Attorney’s Office concluded that Aylo or its affiliates did not violate any federal criminal laws prohibiting sex trafficking or the sexual exploitation of minors, and agreed not to bring such charges. ECP views this as refuting misinformation related to Aylo’s Trust and Safety program.

Aylo expressed its commitment to transparency and openness, hoping that increased familiarity with the company, its values, and initiatives will foster dialogue and actions for a safer internet. Aylo aims to enhance support for stakeholders, including policymakers and parents, to deepen their understanding of Aylo's position and contributions to online safety. Aylo stated its core values are integrity, innovation, and a mission to create a safer online environment for all, working with ECP to set industry standards and empower communities by celebrating diversity, inclusion, and expression.

Trust and Safety Initiatives and Technology Updates

Aylo detailed several ongoing and new initiatives aimed at enhancing trust and safety across its platforms:

  • Transparency Reports: As of 2024, Aylo now publishes transparency reports twice a year, providing information on its Trust and Safety initiatives, technologies, moderation practices, and responses to harmful content.
  • Pornhub Co-Performer Verification Updates: Effective January 23, 2024, the Pornhub network requires IDs and signed Release Agreements (digital consent forms) to be submitted for all new co-performers working with Verified Models before new content can be published. This makes the Pornhub network the first major adult content platform operator to implement digital consent and release forms for co-performers and the only free content sharing platform to require ID verification of all who appear in content.
  • Parental Controls: All Aylo content is for adults only, and all Aylo sites are RTA (Restricted to Adults) compliant as rated by the Association of Sites Advocating Child Protection (ASACP). Aylo has taken steps to ensure parental control tools are accessible before entering its sites and collaborates with over a dozen global partners to implement these controls.
  • Device-Based Solution for Age Verification: Aylo supports device-based age verification for users to prevent minors from accessing adult content, viewing it as a global solution applicable across online business models like social media, gaming, and online dating. Aylo is eager to collaborate with government, civil society, and tech partners on this solution.
  • Trusted Flagger Program: Launched in 2020, this program empowers nearly 60 non-profit internet and child-safety organizations, including 10 new members in the past year, to alert Aylo's moderation team to content violating terms of service, leading to immediate disabling of identified content.
  • Deterrence Program: Aylo works with organizations to display deterrence messaging when users search for certain words and phrases, providing information about the illegality of non-consensual or underage content and offering support resources. In 2023, 8 new messaging partners were added.
  • CSAM Reporting: Aylo voluntarily reports all instances of potential child sexual abuse material (CSAM) to the National Center for Missing and Exploited Children (NCMEC), using detection technology, identity verification, and human moderators to identify, block, remove, and fingerprint potential CSAM. Aylo also works with NCMEC's Take it Down service.
  • Industry Standards: Aylo is working with stakeholder groups to develop leading standards at its studios and is engaging in activities to create guidelines for studios across the industry. A pilot project in partnership with the Internet Watch Foundation (IWF) is underway to develop a model of good practice to combat child sexual abuse material online.

Partnerships and Future Engagement

In 2023, Aylo and ECP continued to support global organizations such as Pineapple Support, Stop NCII, Crime Stoppers International, The Cupcake Girls, and SWOP Behind Bars. Post-acquisition, engagement efforts expanded to over 100 representatives from various industries, corporations, associations outside the adult entertainment industry, and elected officials. In 2024, ECP and Aylo plan to continue building relationships with these partners to support their work and create shared resources. They also aim to establish relationships that promote the rights and safety of sex workers with organizations like the Free Speech Coalition and prioritize initiatives to increase awareness of Trust and Safety protocols, the model community, sexual wellness promotion, and brand transparency.

ECP stated its intention to be public on these matters, acknowledging a mix of goodwill and attacks, but committing to reach out to critics of the adult entertainment industry to communicate Aylo's path forward. ECP also plans to be open and transparent with media and other entities seeking to tell stories in the sector, whether positive or critical, to ensure facts are straight and to learn from these encounters to shape the enterprise.

Key Facts

  • ECP acquired Aylo in March 2023.
  • Aylo and ECP released statements on March 14, 2024, marking the first anniversary of the acquisition.
  • Sarah Bain is Partner and VP of Public Engagement for ECP.
  • The U.S. Attorney’s Office, Eastern District of New York, concluded after a 30-month review that Aylo did not violate federal criminal laws prohibiting sex trafficking or the sexual exploitation of minors.
  • Pornhub implemented mandatory ID and digital consent form submissions for new co-performers as of January 23, 2024.
  • Aylo publishes transparency reports twice a year starting in 2024.
  • Aylo's Trusted Flagger Program includes nearly 60 non-profit internet and child-safety organizations.