WGA Strike Continues - Why Are the Studios So Stupid?
It makes no sense to me why the studios won’t settle with the writer’s guild and pay writers their fare share of the profits. Hollywood is the land of crazy money and who better to share in the wealth than the very people who write the material uttered by the actors.
Here’s an interesting theory behind the continued strike.
For the past two decades, the moguls have bought into the idea that they all save money if they negotiate as a group. And up until now, such a strategy has served them well. But present circumstances have changed the equation. Yet still the companies are hesitant (at least thus far) to negotiate individually.
Why?
Unfortunately for writers, Hollywood below-the-line workers, Los Angeles businesses and, yes, even the companies themselves, what’s driving the negotiations (or lack thereof) is Nick Counter’s agenda. And the bizarre part is, that agenda doesn’t necessarily line up with several of the congloms.
Compiled from sources close to the companies who are frustrated by the lack of progress, below is a brief primer on which company stands where at the moment:…
NBC/Universal, like Warners, has a well-diversified corporate parent in GE. Still, Universal has lost some movies and is facing a wave of cancelled/sub par projects if this lasts past January. Furthermore, NBC is givng back money to advertisers and seeing a migration away from its network that could be permanent. (Everyone’s nightmare about TV generally.)
GE can easily withstand the losses. But our leakers say Fairfield, CT realizes that the bottom-line economics of holding out make no sense, and Universal City, at least, is entirely in agreement.
Take a look at the entire post if your interested in the author’s assessment for each of the studios.
To read more about the strike and our take, start here.
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