Industry News

This page is a running feed of newsworthy stories from around the Internet of interest to production folks. Have a hot tip? Send it our way at info@production.ink.

Dateline: October 17, 2024

Dateline: October 2, 2024

Dateline: September 18, 2024

The most interesting item out there was not news per se, but a listing of Variety's top physical production executives in Hollywood. Happily, folks like Production.ink friends such as Mo Sengupta and Jonathan Mussman made the grade and all of the winning executives offered insights on the state of the industry from the perspective of physical production. Hopefully this becomes an annual thing for the oft-forgotten physical production leaders.

An inside look at Hollywood Catering was not the hot news item we thought we would eat up, but here we are. Indiewire's The Craft newsletter did a terrific piece on the ins and outs (not the ins and outs of In & Out Burger) that basically gave props to the folks feeding us on set. They work tirelessly, their work is graded on the spot (and without a curve), and they have to be super creative with menus on those long location shoots.

Speaking of Indiewire, they also covered how production designers deal with "space" (literally and figuratively) when designing sets for outerspace-based projects. Beyond the lack of space in space, issues like weightlessness, gravity, sound, lighting and camera placement all play a role in how these folks make it look so real.

BMI the music Performance rights group filed suit against SiriusXM to provide its artists “fair and appropriate fees” for music licensing deals. BMI notes that it had had on-going attempts to negotiation with SiriusXM and that the "radio" service has been been financial successful since it made changes to its model. BMI contends that the fees to its constituents has not kept up with the new success.

Japan’s Visual Industry Promotion Organization and Japan Film Commission have announced a new incentive program for international production companies. “Large-scale overseas TV and film projects shot on location in Japan” will be eligible for funding from Japan’s Ministry of Economy, Trade and Industry. Up to one-half of an international production’s Japanese spend is eligible for coverage. Japan is looking for production efforts that “greatly benefit the Japanese economy and the domestic film industry”, with applications opening this month.

Dateline: September 4, 2024

Chick-Fil-A has announced plans to develop a streaming service. The fast food company has been working alongside several production companies in talks to create family friendly shows, specifically in the unscripted space, and to acquire content. Unscripted television will be a focus of the new service’s productions, which will undoubtedly have a positive impact on the long struggling reality TV industry.

Casting assistants are officially represented by Teamsters after a unanimous vote. This decision came just in time for negotiations between teamsters and the Alliance of Motion Picture and Television Producers to begin over a new casting agreement. Casting assistants’ long expressed needs for higher wages, job security, and proper health benefits hopefully will be addressed during these negotiations. Teamsters Local 399 will represent Los Angeles casting assistants and Teamsters Local 817 will represent those in New York.

With the rapid rise of the use of AI in production, many are wondering if AI coordinator is the next big job in film and television. Pigeon Shrine, an upcoming player in AI entertainment, has launched a new consulting service called “AI Coordinators”. This service aims to provide on-set guidance for production companies focusing on which AI tools to use and when, and hopes to streamline the process of incorporating AI in film and television. AI coordinators can help production companies navigate the complicated legal aspects of AI usage and help mitigate confusion surrounding the new technology.

With the continuing decline in reality TV production in LA, many unscripted TV professionals are desperately searching for work. Local filming of reality TV was down 57% in April to June this year compared to the last. The constant change of the production landscape, with decreased studio budgets, mergers, and acquisitions, is spreading production jobs across the country and leaving LA workers scrambling.

California has passed a SAG-AFTRA endorsed piece of legislation establishing clear legal limits on the use of AI in digital replicas of performers. The bill uses language reflected in the recent SAG-AFTRA agreement to protect performers' voices and likenesses from unfair use. Performers–unionized or not–will majorly benefit from the protections outlined in this legislation now and in the future.

Hollywood investment firm Content Partners has announced plans for a major expansion. In the past, Content Partners has focused on acquiring ownership stakes in individual Hollywood projects. However, upon the firm’s expansion, it plans to focus on investing in new, up and coming film, TV, and music companies– a great opportunity for many smaller production companies to find footing in Hollywood.

Dateline: July 23, 2024

Good news: IATSE has ratified a new three year deal. Members approved both the Basic Agreement and the Area Standards Agreement, passing them with percentages of 85.9 and 87.2, respectively. Many members who voted against the deals were primarily concerned with the IATSE's approach to protecting its members from the influence of AI, saying they have no real power to refuse to work with AI. Still, with the use of AI as a production tool being so fresh, IATSE is said to have the most thorough and evolved set of rules surrounding its use.

The Teamsters, however, are still in negotiations with major studios and hope to produce a tentative three year contract by the end of the week. The two sides are reported to be far from an agreement, with national union leadership being brought into discussions. The main disagreement stems from the union’s desire to substantially increase wages for some of production’s most undervalued workers like location managers, drivers, and chef assistants. Safer working conditions and more equitable pay are the other core issues.

Let’s hope the new contract(s) will jumpstart production work. Film and TV production in the US is down 40% compared to pre-strike numbers, presumably a result of major studios anticipating another strike that would interrupt productions. There are still doubts that production will completely bounce back to pre-strike levels even if strikes are avoided, with many studios cutting spending to make their streaming services more profitable. Additionally, on-site filming in LA has dropped 12% in what is being called "post-strike paralysis." Reality TV filming has been labeled a driving factor of these drops, with a 56% decrease in shoots compared to the year prior.

Only 41.5% of executive producers, supervising producers, and show creators in reality TV are women. Men continue to dominate high level supervising and executive roles, as well as head creative positions, in the reality TV industry. In the US, UK, Brazil, and France, three fourths of reality TV creators are men, with the US having the widest gap (80.6% men and 16.1% women). On a positive note, the percentage of female executive producers in the studied areas has increased 10 percentage points over two years, and the gender ratio of supervising producers has become almost even. Still, it is crucial that the production industry further examines the structures that have perpetuated gender inequity in its workforce and works to give underrepresented creators the platforms they deserve.

The Civic News Company Writers, represented by WGA East, have ratified a two and a half year contract which sees crucial issues like paid sick leave, disability, and salary minimums addressed. The terms of the contract also address issues surrounding AI, with included protections over the use of a person’s likeness and voice. Inclusivity and support are also at the core of the agreement, with a DEIB committee established to conduct a pay equity analysis along race, gender, and identity lines.

Dateline: July 11, 2024

We sent you a special bulletin last week announcing that IATSE and the AMPTP have struck a tentative deal on both the Basic Agreement and the Area Standards Agreement. If you missed it, we highlighted the wage increases (7%, 4%, and 3.5% over the next three years), additional overtime provisions for hourly and on-call workers, guidelines for AI as a tool for production, $700 million for pensions and health plans, more provisions for worker lodging and transportation to prevent accidents. While the deals are still pending ratification, this should be a strike free summer for IATSE.

On the AI terms specifically, the agreement includes provisions to aid employees whose jobs are threatened by AI and protect those whose work is centered around the new technology. Employees are protected from inputting language into AI that would put their jobs in jeopardy. Workers are indemnified from legal liability if their employer consents to the use of AI in their work, except for in cases of “gross negligence.” And it’s worth noting that IATSE has established its right to request meetings to adapt the new agreement over time.

Freelance casting assistants are one step closer to becoming Teamsters. An election will be held through the National Labor Relations Board, which will likely allow freelance casting assistants to be represented by Teamsters Local 399 (Los Angeles) and Teamsters Local 817 (New York). The Teamsters are mustering to begin negotiations on a new casting agreement in August; the current one expires on September 30.

A24’s new film “Sing Sing” pioneers a new model of production that Director Greg Kwedar calls “community-based filmmaking,” a method in which the people and places portrayed in a film are sourced directly from the communities depicted in it. The economic model of the film is also unique: the entirety of the cast was paid the same rate determined by SAG minimums, and everyone who worked on the film received the same equity in its earnings. This model aims to create an environment in which production can become more equitable both above and below the line.

California’s reform of PAGA reduces employer liability. In many cases, with the revised law, employers will be able to curb legal action by taking measures to respond to violations early. Some of the key reforms include: measures to stop “fishing expeditions” by requiring plaintiffs to have been personally affected by code violations; new, lower, monetary caps for employers who take “all reasonable steps” to comply with the labor code; and a reduction of maximum penalties for brief violations. Now more than ever, PAGA incentivizes California employers to effectively monitor their wage practices to avoid serious legal liability. We have heard of PAGA being used by plaintiff law firms who work primarily with security personnel on productions (safety and security crew), so the best advice is to make sure everyone is paid on time.

New Jersey... and Albuquerque: Netflix's updated Albuquerque studios has become a thriving center for production in New Mexico. The studio has invested around $900 million in the state’s production industry since 2019. Netflix Co-CEO Ted Sarandos cites New Mexico’s beautiful landscapes, dedicated workforce, and strong community as key aspects of the project’s success.

And coming full circle: In a tentative agreement, Skydance Media and Paramount Global are set to merge, with Skydance purchasing the holding company National Amusements. This deal has been approved by the Paramount board. While this doesn’t reduce the number of majors, the new owners have promised extensive cuts across the board, which will likely reduce the amount and dollars of purchases.

Dateline: June 25, 2024

Labor report: Teamsters and Hollywood Basic Crafts are at the bargaining table after IATSE failed to make progress, and it looks like expanding the California tax credit program is a key point. We’ve talked a lot about tax credits in the newsletter; you might want to check out our interview with a major studio exec on the topic….

Over 400 members, including many high profile ones, of the PGA, DGA, and SAG-AFTRA signed a letter to the AMPTP in support of the union negotiations. You’d hope so after 2023…. And if you’re a drone camera operator, you’re now covered as a part of IATSE Local 600.

At least IATSE isn’t the only union having trouble: The Actors’ Equity Association, which represents 51,000+ live theatre and stage managers, has stopped issuing contracts for development work as negotiations with the Broadway League have stalled.

The writers at iHeart Podcast Network, who are members of the WGA, finally reached a contract with management to avoid a strike—after two years of negotiation.

Perspective shift on AI? According to a new UTA study of production and creative execs, 56% believe AI will positively impact their daily work. It’s a significant change from previous surveys that centered on fear for jobs—but it’s also a survey of execs.

The PGA’s initiative to get health coverage for qualified members is gaining more momentum. 20 more companies have signed on.

TCL is starting a film and TV accelerator program focusing on using AI tools to improve their projects. It offers a grant of $25K+ to five entrants in its first class, along with AI-focused development and production support.

Dateline: June 12, 2024

Labor negotiations have stalled. IATSE didn’t meet their first or second set of deadlines for the Basic Agreement, and didn’t meet their first deadline for the Area Standards Agreement. The Teamsters start their negotiations this week and IATSE will have to work around them, so IA has will return to the table on June 24. That leaves just over a month to get a deal done before the July 31 expiration. Onlookers are nervous. Our prediction? Get ready for a strike authorization vote, even if Teamsters boss Lindsay Dougherty says it’s unlikely.

In a likely response to souring morale, IATSE targeted the Daytime Emmys, which are traditionally produced by a non-union crew, for disruption. They planned to picket the awards to condemn use of non-union labor, and the WGA advised its members not to attend rather than cross picket lines. But crisis was averted when the IATSE and the Awards Committee reached a deal to give union benefits to the non-union folks working on the show.

Sony’s CEO said the quiet part out loud and explained their approach to AI. We take “efficiency” to mean “cut costs,” and we assume that also means “fewer jobs.” He said it also depends on what the new labor deal terms are.

Likely in response to the ScarJo/OpenAI controversy, New York passed a law requiring actors’ consent and representation before a company can license rights to replicate their voice. It’s meant to prevent unauthorized copies or copies.

More and better virtual production this year? That seems to be the story, with virtual stages improving in quality, saving location- and staffing-based costs, and maybe being a safety valve in case of another strike.

The decline in studio spend, especially for film, is being felt across the pond, too: UK film spend fell by almost half in the first part of this year.

And, our obligatory note that Paramount and Skydance are in talks to merge. They've since broken off negotiations, if you believe that's permanent. There are also bids on the table from billionaire and entertainment exec Edgar Bronfman Jr., and an investor group led by producer Steven Paul.

Dateline: May 29, 2024

Loan-Out Scare: If you use a Loan-Out Corporation for tax and/or liability purposes, you may have had a scare this week. Payroll company Cast & Crew sent a warning to its users that California was auditing it and that loan out corps might not be allowed. The unions and guilds then sent warnings their members. The California Employment Development Department has since made it clear they will not make that policy.

AI slashing hours? AI, even its integration into popular programs, is cutting down time commitments in post production by almost half, according to some industry insiders. Optimists say that is freeing up the humans for creative work and amplifying their skills; pessimists are glad IATSE is focusing on it in negotiations.

Speaking of, here’s the latest on the labor front: Basic Agreement negotiations, despite a May 16 IATSE deadline, will extend into June. AI is a sticking point. They’ll start on the Area Standards Agreement anyway this week. Nobody has a strike authorization yet, but we’d guess a vote comes soon.

By now, you’ve seen the ScarJo/OpenAi controversy, in which OpenAI’s new assistant’s voice sounds suspiciously like the actress…after the actress declined to provide her voice. We wrote last month about A24 and a Netflix documentary facing backlash for blatantly using AI, and we thought then that it would be just the beginning. We also highlighted that the new SAG-AFTRA deal with studios requires actors’ permission to use their likeness in productions. There isn’t a deal with OpenAI, though, so legal action would need a different basis.

You have another option for reporting misconduct on set: MyConnext, an online reporting tool created by the Hollywood Commission, which just launched.

Dateline: May 14, 2024

SAG-AFTRA’s new Low Budget Digital Waiver will take effect on June 27, 2024. Talent session and overtime fees are no longer negotiable and talent must be paid no less than minimum scale under the 2022 Commercials Contract, among other changes.

Should we all move to Jersey? Another massive studio is going in, this time in Bayonne’s Bergen Point neighborhood. 1888 Studios will be a $1+ billion facility spanning over 55 acres on an old oil refinery’s land. It’s another win for Gov. Phil Murphy, who is pushing hard to make the state (and it’s 30-35% tax credit) an industry hotbed.

Career building: IATSE Local 871 (writer’s assistants, accountants, and production coordinators) will soon receive an invite to join ProdPro, which is launching a platform to help production workers find work. 871’s 3,500+ members will be invited to free accounts.

General negotiations have begun between IATSE, Teamsters, and Hollywood Basic Crafts vs the AMPTP. The current deal expires July 31; all the locals have resolved their local-specific issues. The shortfall in health and pension plans, which the IATSE is trying to pump nearly $700 million into, looks to be a key issue. You can read our predictions for the deal here, and our prediction for a strike here.

Dateline: April 30, 2024

IATSE Local 705, the costumers, reached an agreement with AMPTP on their guild issues, and so did Locals 44 (propmakers and set decorators) and 884 (studios' teachers union). That means all locals have reached agreement on their specific issues. The momentum could be an encouraging sign as the IATSE, Teamsters, and Hollywood Basic Crafts alliance headed into Basic Agreement negotiations last week.

More labor momentum: Sesame Street’s writers (members of the WGA) reached agreement with the show. No cookie shortage for us. And SAG-AFTRA reached an agreement with the major music labels. Why it’s relevant for the below-the-line labor negotiations: Included in the agreement are AI provisions that the terms “artist,” “singer,” and “royalty artist” can only apply to humans.

Diversifying post production: Producers Jennifer Sofio Hall and Bedonna Smith launched Industry Standard, a talent accelerator for early- and mid-career professionals from historically excluded background in post-production. It’s an extension of their work at MakeMake Residencies, and will create nine-month residencies in post at participating companies to help residents build their skills, resumes, and networks. It’s supported by the Netflix Fund for Creative Equity.

East coast bias? LA production was down almost 10% in Q1. Where is it going? The Dirty Jerz is part of the answer. New studio facilities have popped up or are in progress in West Orange, Jersey City, Newark, and of course Monmouth’s new upcoming Netflix compound.

And on the theme of AI in production: A24 is in hot water for using AI generated images in its Civil War posters—and they look great. Meanwhile, the Netflix documentary What Jennifer Did is in hotter water for AI generated content in the piece. These feel like just the beginning of many similar headlines—or maybe we all just come to accept this as the new normal?

Dateline: April 17, 2024

AFM and AMPTP reach deal: The American Federation of Musicians has also been negotiating a deal with the producers, and they just landed it. Details are forthcoming but you might notice their key terms are close the the same we predicted for below the line in our last edition:

New residuals on content made for streaming
Better healthcare contributions for content made for streaming
A performance bonus for content on popular shows
Protections against generative AI and compensation when performances are used in conjunction with AI

Related: SAG-AFTRA has come to terms on its animation agreement.

Job losses: To lend some data to the crunch you’re hearing about and feeling: The industry lost 2600 jobs last month, even though the overall economy gained over 300,000. A quick reminder that the industry lost an estimated 45,000 jobs due to last year’s strikes. We can’t do that again.

Less is…less?: As more info comes out from Dan Lin’s new role as head of film at Netflix, it’s looking like we can expect an overall smaller output, more midsize films and a smattering of big budget productions. No more blank checks, and likely fewer movie jobs coming out of Netflix accordingly. And they’ve reorganized from teams assigned by budget size to genre-based: Ori Marmur leads fantasy, sci-fi, and action films; Kira Goldberg has drama, thrillers, and family films; Niija Kuykendall has faith, YA, and holiday; Jason Young has comedies and rom-coms.

SAG-AFTRA is pushing an AI bill in California that would require actors’ consent when studios use their“digital replicas”—an improvement and clarification on the language in their 2023 deal with studios.

Dateline: April 2, 2024

Hollywood Contraction: You know jobs are scarce and productions are down, but to quantify it: overall industry employment is down 26% since August 2022. Work rates are showing limited signs of recovery since the the WGA and SAG-AFTRA stoppage; let's hope we can avoid another one for jobs' sake.

Hollywood Contraction Hits Entertainment Executive Jobs: It's hitting execs, too. By some estimates, 20%+ of executives in media and entertainment are unemployed. Scripted series production fell 12% to 516, and may drop to 400 in the next few years, so there is limited space for numbers to return.

Cinematographers Guild and Artists Guild reach agreements: IATSE Locals 600 and 800 both reached tentative deals with the AMPTP on their guild-specific issues. So did Local 729, the set painters and sign writers, and Local 695, which is the production sound, video assist, video engineering, and studio projection technicians. The locals are negotiating two at a time for their particulars; next up is the Motion Picture Editors Guild. Negotiations are ongoing for the big issues we talk about above, but maybe there is reason for optimism.

Neon is expanding. The studio darling is bringing on Jon Read and Allison Rose Carter to do more of their own productions, and partnering with Ken Kao's Waypoint Entertainment to make them happen. Remember that Read and Rose Carter produced Everything Everywhere All at Once, which used RunwayML extensively and with success. Don't be surprised to see more. Our list of other AI production tools you'll see and use is www.production.ink/ai/.