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Monday, July 14, 2008

SAG stays in stall mode

Sometimes its hard to admit defeat. SAG has no leverage to construct a better deal now that AFTRA and the writers have come to terms on new media participation. Given also that the economy is in a state of flux and the new media market still remains undefined, a short term deal is reasonable. As they fight over digital downloads, mobile usage is another screen with some potential. But as one area grows, another declines. The revenue coming from advertising is not an unlimited bucket of money. It flows to different media, from one screen to another. Ultimately, compensation should be measured regardless of where it is seen, but as a percentage of total business over a period of time.

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