Devs dropped the ball on this one. The people behind FL should have been MC's parents, not Lydia.
This is how the story should have been altered to make this happen: We already know MC's sister located his porn stash and learned of his fetishes. The only change required was to make it known to us that his parents did so as well. They knew what his proclivities were and decided to create the FL app to get everyone else involved in it. Simple.
Lydia's character path could have remained, as-is.
Pete would have remained a decent dude and good friend.
MC's parents would have been introduced. There could have been a few scenes involving that...or not.
Several more ending could have resulted.