Hollywood sets eyes on revenues from video iPod

James Delahunty
17 Oct 2005 5:11

Just days after Apple unveiled the new iPod video to the world, five unions representing actors, writers and directors issued a joint call for talks to ensure that their members get a cut of the revenue generated from TV shows sold via iTunes. This is a rare unity between the groups who often bicker over such things as royalties from DVD sales. The unions made it very clear to producers what they demand in their statement.
"We have not yet heard from the responsible employers of our members," their joint statement said. "But we look forward to a dialogue that ensures that our members are properly compensated for this exploitation of their work." Presidents of unions representing writers and actors first learned about the ABC / Apple deal while lunching at a Beverly Hills restaurant. The deal means that Apple can sell episodes of some of ABC's hit shows like Lost a day after they air.
This makes ABC the first network to make such a deal, and more networks are expected to follow suit soon. So what these unions are demanding, is their cut of the revenue. Patric Verrone, president of the Writers Guild of America, West and John Connolly, president of the American Federation of Television & Radio Artists called their counterparts at the Screen Actors Guild, Directors Guild of America and the Writers Guild of America, East after they learned of the development.
"We developed a new piece of stationary that never existed before," Verrone said. Apple will be selling ABC's shows for $1.99 each a day after they originally air on TV and it is this revenue that the unions have their eyes on. ABC has not yet heard from the Unions however, but did issue a statement. "The guilds are our business partners, and we always welcome a dialogue with them on any business-related issue that affects their members," reads the statement.
"We have to learn more about the actual technology," Verrone said. "I'm thrilled by the notion I can watch my shows in the palm of my hand, but I also want to make sure we are paid appropriately." A conflict could arise if studios decide to treat the Internet downloads the same as a DVD sale, which might result in lower payments.
Source:
Yahoo

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