In a game with genital customization and where sex was pushed heavily in the marketing, and where sex is a HUGE part of the environment (sex shops, red light districts, strip clubs, prostitutes, EVERYWHERE) there is almost no sexual content in the game.
Yet despite that, the amount of sexual content that you as your avatar can actually engage with is completely bare bones.
It's also pretty bizarre that there are 1000 strip clubs and you can't actually, you know, see any strippers.
Did they wuss out on this aspect or did they just run out of time and couldn't beef it up more?
I think it got cut like most other things to be honest, if you watch the first trailer you will see dirt girls/boys everywhere, even right outside Vs apartment. There is 3rd person view of at least the end of such interaction between V and some random guy. You also have brain dances available as an interaction in your apartment and we know that you can currently buy brain dances in the game now, that are not junk, but that simply doesn't work.
There are sex shops were you can buy sex toys, again these are not working either and are just random junk like 90% of the stuff in the game besides weapons, armors, mods etc.
I think they left the genitalia thing in the game, because it had already gotten a lot of attention in the medias etc, so if they had removed that people would have been met with a "neutered" game, so to speak, straight from the start. Clearly you don't make a game with such options, if you didn't plan for it to be visible in the game.
My guess is that at some point during development they completely changed the idea behind the game, whether that was when Keanu Reeves got on board as some think or something else, I don't know. But it's definitely not the same game that got presented 2 years ago in that original trailer, hardly anything from back then is in the actual game, so they must have spent a lot of time the last couple of years removing things rather than fine tuning it, if we are to believe that trailer having the functionality that they said it had, or they were just straight up lying.