The filmmakers are lost for words
Television: In the U.S., the writers' strike is putting the major TV networks on the defensive. Advertisers are already demanding lower rates.
Television In the USA, the writers' strike is forcing the established TV stations onto the defensive.
America's film and television writers are on strike. They are demanding a 2.5 percent share of the revenue generated by the distribution of TV series and feature films via the internet and other digital platforms from the media companies. Since November 1, there have been pickets in front of the buildings of major media companies in New York and Los Angeles - and there is no end in sight. "It's about the future of content distribution," says Max Frye, a member of the Writers Guild of America (WGA) who has worked for all the major Hollywood studios. "In ten years, no one will be bothering with DVDs. "Around 50 TV series and an increasing number of film productions, including "24" and "Desperate Housewives", are affected by the strike. The protest action began a few weeks after the fall TV season began on American television with its new series. Most of the newly produced TV episodes have now aired, and the renaissance of cheap reality series from "Big Brother" to Donald Trump's "Celebrity Apprentice" has begun on practically all channels.
Many advertisers are now demanding a reduction in advertising prices - often the most influential force on TV managers in the USA. But given the scarcity of high-quality product, they have no choice but to pay even more for these programs than before. "Marketers are buying TV advertising," says Fred Dubin, Director of Branded Entertainment at media agency Mediaedge. "If there are no series available, they just buy something else. It's business as usual." The trend benefits the hit show "American Idol" on Fox in particular, which has a mass audience of around 30 million viewers and currently enables Fox to charge top prices of up to one million dollars per 30-second spot. A spot in a drama such as "Grey's Anatomy" commands an average of 250000 to 450000 dollars.
But the TV networks are gradually coming under pressure. NBC recorded losses of 10 to 15 million dollars due to the cancellation of the Golden Globes ceremony alone, and it is more than questionable whether ABC will again rake in 80 million dollars for the Oscars as it did last year. In December, the networks' average primetime ratings were already eleven percent lower than in the previous year.
Industry observers believe it is likely that the so-called Upfronts will not take place this year. At the Upfronts, TV stations present their new series every May to encourage marketers to book as much advertising time as possible in advance. "Advertisers like the idea of eliminating the usual race for the best advertising opportunities," says Dom Serafini, editor-in-chief of Videoage International magazine. "It means fewer horrendous prices per commercial." Broadcasters took in a total of 9.2 billion dollars at the 2007 Upfronts.
What is causing the WGA headaches: The strike means that thousands of other production workers, such as hairdressers, lighting technicians and set designers, are losing work without being compensated. In Los Angeles alone, where the majority of TV series are produced, 15,000 employees are affected. According to the Los Angeles Economic Development Corporation, the strike has so far cost the film city 1.4 billion dollars in lost earnings. This means that this year's strike is beginning to take on far greater dimensions than the last work stoppage by writers in 1988, when the union struck for five months, resulting in losses of 500 million dollars for the film industry.
New hope for an end to the writers' strike recently came from the Directors Guild of America (DGA): the unionized directors, who were threatening a similar strike over the same issues, came to a tentative agreement with the film studios. The WGA wants to check whether the agreement could also apply to them, although the DGA is considered to be far more willing to compromise than the WGA. If both unions reach an agreement with the studios, a strike by the actors, which has been announced for this summer, is likely to become obsolete. If not, many of those involved are bracing themselves for a long ice age.
Gerti Schön, New York
