Cheating website’s thrilling wages of sin

Noel Biderman, the founder of AshleyMadison.com, a spectacularly successful website that helps people conduct extra-marital affairs, is happily married. Neither he nor his wife of a decade, Amanda, are members of Ashley Madison, which offers simple advice to married folks: 'Life is short. Have an affair' . It also calls itself the 'world's leading married dating service for discreet encounters' .

Infidelity is big business. The website just got an investment of $50 million from a New York hedge fund, and is being wooed by several other investors. It has already helped several Canadian hedge funds make a killing.

According to Newsweek, the company made $30 million in profits on $90 million in revenues last year, and expects $40 million in profits this year. Members have grown four-fold over the past five years to 12.7 million in the US and 8.3 million overseas in 30 countries. Much of the new growth is coming from Japan and Hong Kong, where the company recently launched.

It's not just bored bankers and middle-aged men who use the website's services, either. Earlier this year, Business Insider reported that the number of women using the website had seen a surge. Among users under 35, women and men are split 50-50, and while there are still more men than women on the site, the proportion of single women looking for married lovers - 28% - is higher than that of single men. One probable reason for this surge is the new Ashley Madison app, which has enabled housewives to log in from their phones instead of taking the risk of being caught using it on the family computer.

Understandably, the website and its founder have come in for some heavy pounding from those whose moral sense is affronted by a website that openly encourages people to have sex outside standard relationship structures. Trish McDermott, who helped found successful dating site Match. com, accused Ashley Madison of being a "business built on the back of broken hearts, ruined marriages and damaged families".

Biderman is not having any of it. "That's ridiculous. If you take the label off my business, any investor would be throwing zillions of dollars at it. The pursuit of an infidelity is a biological drive. We underestimate our ability to withstand temptation," he tells Newsweek's Lynnley Browning in a long interview.

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