The Writers Guild of America and the Alliance of Motion Picture and Television Producers sat down for their first round of talks on Monday. They'll meet again on Wednesday.
And here's a surprise. They're not real close to a deal:
...[T]he guild is pushing hard to expand residuals for TV and film content that is reused on the Internet and other digital media platforms, such as cell phones and iPods.
Industry executives insist that wireless and Web-based entertainment still consist largely of experimental ventures whose business models are unproven.
The producers also argue that the old system of calculating residuals of all types as a percentage of gross revenues is outdated in the fast-changing, fragmented world of the Internet and other new media.
They want a new system that withholds residual payments to writers and other creative talent until studios recoup costs for development, production, distribution and marketing....
"The producers argue that the old system of calculating residuals...as a percentage of gross revenues is outdated..."
You bet it's outdated. The producers are paying more money than they want to. And they want to pay less. That there current system sounds way outdated to me.
I mean, if there's anything I know for certain, it's that the top tier of money earners in the U.S. just isn't isn't getting enough dollars put into its threadbare pockets.