[UPDATE September 3 2011]: Silicon Xtal has reached out regarding the validity of the source of this story. "This was apparently someone’s cruel idea of a joke on us," a company representative told Tom's Guide.
Trademark hounds have discovered that Silicon Xtal Corporation, an integrated circuit manufacturer located in San Jose, California, has registered the name SexBox with the U.S. Patent Office. If the name doesn't indicate it's purpose, here's the patent description to provide a clearer picture: a video gaming console comprised of computer hardware with unique controls which plays Adult Only rated (AO) video game software titles. That's right, a game console that plays adult-oriented games and media.
Wait, but there's more. According to the filing, the naughty gaming console will have access to associated adult-oriented content and entertainment through "interactive adult communities." There's also mention of movie rentals, massively multiplayer online games, and "more as technology evolves." The company even tries to beef up its image, stating on its website that Microsoft's Xbox 360 and many Nvidia video cards actually use its circuit designs.
Currently Microsoft, Sony, and Nintendo do not allow AO rated games on past and present gaming consoles, and retail outlets usually do not sell AO-rated games whatsoever. As Siliconera points out, AO titles such as Indigo Prophecy: Director's Cut are traditionally sold and distributed online.