IEG

tech capital by virtue of its being home to Microsoft, is also acquiring the reputation as capital of the cyberporn industry. The city is the home of Internet Entertainment Group, which has set its sights on bringing in $40 million of the estimated $1 billion revenue taken in from on-line adult entertainment. Sites such as IEG's constitute only 1 percent of Internet content, but receive a substantially larger percentage of Internet revenues.\n IEG first achieved prominence by offering Internet users the controversial honeymoon tapes of Pamela Anderson and estranged husband, Tommy Lee. More recently, IEG president Seth Warshavsky, teaming with Penthouse magazine, offered $3 million to former White House intern Monica Lewinsky to pose nude.\n Warshavsky says his site, Club Love (www.clublove.com), gets more than 7 million hits (visits) each day. "Welcome to the smuttiest, wettest, nastiest, hottest, hardest, most famous sex site on the planet!! With Live Sex Shows!," proclaims the message on the home page. The site promises 101 sex channels and live sex shows around the clock.\n Models who make $20 an hour follow the instructions of web site visitors who call an 800 number. A half hour of an interactive sex show costs $49.95, convenient charged to a credit card. Warshavsky estimates he has 600,000 subscribers. The first week's membership is free. Thereafter the fees range from $24.95 a month to $319.95 for a lifetime.\n The president said the company turned a profit in the middle of 1997 and has done nothing but grow. Last month, IEG was to have moved into a 7,000-square foot building on Seattle's Capitol Hill.\n IEG isn't all sex. It has been diversifying into psychic matchmaking, legal counseling--even golf advice. But sex remains the backbone of the company, comprising 80 percent of its business.