After 146 days, WGA has reached a tentative deal with Hollywood studios, which is one of the steps need to get film and television production going again. Needham & Co. Senior Analyst Laura Martin explains how strikes could impact the volume of content that streaming services produce. “Wall Street is demanding they.. move to profitability faster,” Martin says. For streamers, this could mean cutting down seasons by filming fewer episodes—“less content spending”, as Martin notes. Martin expects consolidation in the industry, which will help “get rid of duplicative costs.” In regards to smaller streamers, Martin states that due to large competitors such as Amazon (AMZN) and Netflix (NFLX) “there’s no advantage to being small.” For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
The Writer's Guild of America (WGA) and the Alliance of Motion Picture and Television Producers (AMPTP) have reached a tentative agreement. Alex Weprin, Media and Business Writer for the Hollywood Reporter, tells Yahoo Finance Live that late-night shows are expected to resume production within the next few weeks. However, the resumption of scripted movies and TV shows is going to depend more on a resolution in the ongoing strike by the Screen Actors Guild - American Federation of Television and Radio Artists (SAG-AFTRA). The primary issues revolve around AI and streaming, as SAG-AFTRA asserts that compensation should be on par with what they receive for traditional linear television programs. For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Amazon (AMZN) to introduce ads on Prime Video and a higher-priced ad-free tier of Prime Video next year.