from The Los Angeles Times via MSN
Editorial: A Hollywood mess: Writers are striking, and actors may too, over the future of the industry
Opinion by The Times Editorial Board
After six weeks on the picket line, Hollywood writers could soon be joined by actors, whose union, SAG-AFTRA, voted to authorize a walkout if it can’t reach a deal with studios by the end of the month.
A work stoppage by two major Hollywood unions would be a serious blow to the industry — and to Los Angeles County, where film and television are an important economic engine.
To make matters worse, the strike — or strikes — could carry on for weeks or months, observers suggest, because the issues being hashed out are challenging and existential for the industry. The digital revolution has significantly changed the business model, particularly for television shows. The arrival of artificial intelligence could upend things again, if software takes over acting and writing work.
Writers and actors see their careers at stake and have been steadfast in demanding contract terms that protect their income and ensure that there are good jobs for the next generation of creators and performers. Media companies are also still learning to navigate the world of streaming. After going on a spending spree in recent years to launch services with prestige shows and movies, few companies have managed to turn a profit on streaming and are under pressure from shareholders to cut costs and figure out a business model that works.
Negotiations begin Wednesday between SAG-AFTRA and the Alliance of Motion Picture and Television Producers, which includes Netflix, Amazon, Apple, Disney, Discovery-Warner, NBC Universal and Sony. The Directors Guild of America reached a deal with the alliance over the weekend, with increased pay and streaming compensation.
The Writers Guild of America and the studios have not returned to the bargaining table since the strike started May 2, which is disappointing considering how much is at stake for the industry and the people who rely on it for their livelihood.