Alecia Batson (she/her)While this article provides some insight into the challenges faced by SAG-AFTRA’s members in this new paradigm of streaming platform technology and made-for-D2C, this phrase is particularly interesting, “the union’s push for a cut of streaming subscription revenues to offset lower residual rates.” » https://variety.com/2023/film/news/sag-actors-strike-amptp-fran-drescher-1235675852/
The current model for determining residuals for actors’ performances for subscription video on demand (SVOD) and similar platforms is a rather excessively complicated model of ranges and multipliers which I will not explain here. Setting a flat rate percentage of streaming subscription revenues would be easier to execute for all parties involved.
In looking at recent investor relations reports for a few of the major platforms, these data for 2023 are available: (see thread)
Netflix reports, “Q2 ‘23 revenue of $8.2B and operating profit of $1.8B were generally in-line with our forecast—and we expect revenue growth to accelerate in the second half of ‘23 as we start to see the full benefits of paid sharing plus continued steady growth in our ad-supported plan. We’re still targeting a full year 2023 operating margin of 18% to 20%.” » https://ir.netflix.net/ir-overview/profile/default.aspx
Warner Bros. Discovery reports for the three months ending 31 March 2023, the Direct-to-Consumer segment has total actual revenues of $2.455B. » https://ir.corporate.discovery.com/investor-relations/default.aspx
Revenue and operating results for the Disney Media and Entertainment Distribution segment indicate that for the quarter ending 1 April 2023, the Direct-to-Consumer platforms alone achieved $5.514B, a 12% increase YoY. » https://thewaltdisneycompany.com/investor-relations/
Across all members of the AMPTP (https://www.amptp.org), it is likely combined total annual revenues are in the trillions of dollars. It seems reasonable to think 2% of total segment revenues paid towards the professional #actors who bring life to so many characters across so much content available to billions of eyes and ears on so many platforms the world over is not much to ask.
Here’s hoping all parties return to negotiations soon.
There are several ways to support professional #actors during the #sagaftra strike:
* volunteer » https://www.sagaftrastrike.org/stand-with-us
* donate to the Community Entertainment Fund » https://entertainmentcommunity.org
* buy a shirt » https://wgastrikeshirts.com/collections/sag-aftra
* post in support » https://www.sagaftrastrike.org/social-toolkit
* join a picket line » https://www.sagaftrastrike.org/picket-schedule-locations
Thank you for your support. 🪧
Stand With Us | SAG-AFTRA Strike
Film and television performers have never faced a greater threat to their professions. While the studios have reaped unprecedented profits, protections and compensation for talent have greatly diminished. The AMPTP thinks they have the upper hand. Help us prove them wrong.
Related: “Netflix et al. adopted another key ingredient of Silicon Valley’s approach: secrecy. Data about shows’ performance & viewer habits were kept proprietary; we knew only what the streamers wanted us to know. That went for customers, performers, writers and for investors. Streaming is an inscrutable black box, about which so many stories might be told…
(continued in next toot, including source)
“It’s a sticking point in negotiations—#actors & #writers on streaming series want a better way to calculate the value of work, given the residuals they earn are so much lower than for network or cable… ‘The reason nobody wants to open the books is because if Wall Street got a look,’ one Hollywood insider told New York Mag, “they’d have a collective stroke.’” » https://www.latimes.com/business/technology/story/2023-07-21/column-hollywood-sag-aftra-strike-strike-silicon-valleys-magical-thinking
