I didn't know people actually speak the way your friend does.
I don't think your example of porn works, as it is often used so that the people watching can implant themselves on whoever they wish in the scenario. But I do agree, in a way, that everyone is a little homosexual. Not so much that everyone will disregard gender but I think that if someone met their ideal person, but of the same gender, they would be attracted to them even if they don't act on it. That's just my guess though, I have no idea if it is true or not.