It is if you do it as part of a business. Downloading a movie isn't a crime (but is illegal), but burning it to dvd and selling it turns it into a crime.
It's illegal in the US to make and distribute adult films without the proper permits and paperwork and health checks.
Let's say someone made a website that had Saudi girls, now living in the US, make adult films (without the proper permitting and everything so they were violating a US law as well) and advertised those films in Saudi Arabia. And let's say there are Saudi customers.
To speed things up, maybe they had a CDN server in Saudi Arabia.
When the authorities in Saudi Arabia discover this and charge the film makers, would the US grant extradition?
* The film makers / business operators in this scenario would be 100% American.
* The product of their creation and the service itself wouldn't be illegal in the US. What was illegal was some business decisions they made.
* Their CDN helped facilitate optimal data transmission but was not required for business operations
* The Saudi court in this scenario wishes to charge them for the service itself and the product created
Similarly,
* Kim is not an american citizen and his company wasn't American
* His business was legal in the country it was incorporated in, although he arguably made some business decisions that were not entirely above board
* He had leased equipment in the US to help serve people in that geographic region
* The US wishes to jail him for the actual operation of the service
Would the US extradite the US citizen to Saudi Arabia for punishment? If not, why should NZ extradite Kim to the US?
*edit - Somehow didn't see that
michaelmrose made this argument too in this exact same thread
In general something has to be a crime in both countries for an extradition to happen.
This has meant that the US has introduced extra sex crime law so that Americans who travel overseas to take advantages of different age of consent laws can be tried as if they had committed the crime in the US.