Web compensation holding up TV writers contract
The contract between film and TV producers and the Writers Guild of America expired at midnight Wednesday. If a new contract isn't signed soon, Hollywood production could grind to a halt. One of the bigger holdups? According to reports, the two sides can't agree on how much writers should be compensated for Web versions of their content.
In the current contract, writers only get paid when viewers actually buy the content online, like from iTunes, for example. Problem is, the broadcast networks aren't exactly enamored with the online-retail model. Just ask NBC CEO Jeff Zucker. The broadcast business has always been ad-supported, which is why NBC and News Corp are comfortable with Hulu and the Disney-ABC Television Group signed a deal with AOL Video. And naturally, writers want a cut of the ad dollars, too.