Streaming hasn’t just changed the way people watch TV. It has changed the business model, too
see the Hollywood sign from the picket line outside Netflix’s compound on Sunset Boulevard. It is obscured by an office tower with a busty advertisement for a “Bridgerton” spin-off splashed on the wall. Yet Hollywood, with its arcane paraphernalia, is all around you. The Writers Guild of America , which called the strike, traces its roots back to cinema’s early days. The language that the strikers use is steeped in history.
Given its strength, one might think it could afford to splash out on writers. Perish the thought. In a volume business, cost is key. Its ability to control production expenses helped bolster its cashflow in the first quarter. Investors loved it. Writers, once accustomed to more lavish treatment, did not. Their retort, visible on the picket lines outside Netflix offices: “Fists up. Pencils down.”
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