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Nudity in Video Games: Going too far?

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It's a constant war of arguing to keep them bastards from shutting down violent games, like GTA Vice City(whom surprisingly enough, was only sued once as far as I know, and that was for racism towards haitians).
On all of these shows about anti-violence in video games, they tend to show the goriest and rarest scenes to help strengthen their point. For years and years they would only show Mortal Kombat fatalities, and fights against Sonya Blade(woman abuse). Now they seem to like showing the old ladies on the streets of Vice getting ripped apart with a chainsaw...

If you saw that documentary called "First Person Shooter," you'll know what I'm talking about. That's a documentary filmed by a CounterStrike addict's dad, who follows his son around to Clan meetings with his friends, and even to a Counterstrike tournament. Now and then it breaks off to interviews with parents who talk about their abusive siblings, and some ex-army guy that's trying to stop first person shooters from being made, because they reflect on the actuality of aiming, and they're training kids to be killers...

The documentary, the 'are video games safe' news broadcasts, and the Wal-Mart banning of GTA are all bullshit. But, they're still there, and the boycotting of violence in Video Games is rising, and, oddly enough, the violence is also rising.
Records show that softcore Nintendo games are losing money, while gore-filled games like Devil May Cry are--according to Gamepro magazine, June issue of last year-- making three times as much money as most box-office movies.

So, while standing on the edge of a tilting cliff, with Christians, Catholics, and bored mothers throwing anti-violence propaganda at the gaming industry, is it really a good idea to throw [I]this[/I] rock onto the pile:

...A BMX game with digital nudity(BMX XXX).
I mean, is this pathetic or what? ACCLAIM almost got boycotted from Wal-Marts across the states and Canada over this shit.
What do you think? Is nudity in games going way past the line?