Censoring text messages and language on IFE doesn't make a lot of sense, there's a warning at the beginning with the discretion advisory.
Gotta say though I'm all for blurring out nudity. I've watched episodes of Entourage or something where there's sex and it is down right embarrasing to have that on the screen for the people around me. As a parent who travels as often as possible with my 8 year old...I've gotta back AC on this one.