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PRO Tip Sheet: 10 Insights from WrapPRO

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This week on WrapPRO and join the ranks of high-powered industry leaders who read WrapPRO every day.

This week on WrapPRO [Save 33% on an annual subscription](and join the ranks of high-powered industry leaders who read WrapPRO every day. Want unlimited access to in-depth reporting, analysis, and industry data?[Save $50 on WrapPRO using promo code Wrap33](and upgrade to a subscription today. 10 Insights From WrapPRO Welcome to the Tip Sheet! This week, WrapPRO analyzes the strike’s long-term impact on the box office, wonders about why we're rewriting the work of James Bond creator Ian Fleming, asks the burning questions about AI and copyright and examines the fallout from CNN’s Trump town hall. Enjoy! Sharon Waxman, Editor in Chief [Read More on WrapPRO]( 1. [How - and When - a Long Hollywood Strike Could Hurt the Movies]( By Scott Mendelson & Umberto Gonzalez| Source: [WrapPRO]( The ongoing WGA strike, coupled with looming labor unrest due to upcoming expiration of DGA and SAG-AFTRA contracts, poses a threat to the movie industry, potentially affecting release schedules well into 2025. The last WGA strike in 2007-2008 resulted in a series of less-inspired tentpole movies, and a similar impact could be expected if the current strike extends over a long period. Studios have learned from the pandemic and have developed strategies such as banking material, relying on library content, and shifting to offshore production to mitigate the effects of production disruptions. However, the lack of rewrites due to the strike may lead to more filmmakers shooting what's on the page. This could lead to diverse outcomes with some films benefiting from a more streamlined development process, while others might suffer from a lack of revision and refinement. 2. [CNN Aftershocks: The Fallout for CEO Chris Licht After Trump Town Hall]( By Joseph Kapsch | Source: [WrapPRO]( CNN's decision to host a town hall event featuring former President Donald Trump has sparked a backlash both within and outside the network due to concerns over its impact on the network's credibility. Despite a significant ratings boost — the town hall garnered 3.3 million viewers, about four to five times the usual slot's viewership — many criticized the network for providing a platform to Trump, especially given his repeated election denials and other controversial remarks during the event. 3. [Linda Yaccarino’s NBCUniversal Exit Leaves Ad Industry in Shock Ahead of Upfronts]( By Lucas Manfredi & Jose Alejandro Bastidas | Source: [WrapPRO]( Linda Yaccarino, a prominent figure in the advertising industry and the former chairman of global advertising and partnerships at NBCUniversal, has abruptly left the company to assume the role of CEO at Twitter. This shift has sparked rumors and speculation about possible turmoil at NBCUniversal, especially given the recent ouster of its CEO Jeff Shell and upcoming upfronts presentation. The transition also happens amid a challenging ad-sales environment for traditional media, with NBCUniversal seeing a significant drop in domestic advertising revenue. Twitter's new CEO will be focusing on business operations, while Elon Musk transitions to the role of executive chairman and chief technology officer. Yaccarino's move to Twitter is viewed as an opportunity for her to play a significant role in transforming the struggling social media platform, especially given her previous success at NBCUniversal. However, it's also noted that her hiring could mean Twitter's data gathering and targeting will become more robust, which has raised concerns among some users. 4. [Ben Smith Talks Digital Media’s Death Dive: ‘You Could Feel That Moment Coming to an End’]( By Sharon Waxman | Source: [WrapPRO]( Ben Smith, the former editor-in-chief of BuzzFeed and current editor-in-chief of Semafor, released a book titled “Traffic: Genius, Rivalry and Delusion in the Billion-Dollar Race to Go Viral.” He reveals in the book that the decision not to sell BuzzFeed to the Walt Disney Company for $600 million will likely be viewed as one of the most regrettable decisions in digital media history. Smith suggests that BuzzFeed's overdependence on Facebook for its audience and a miscalculated understanding of the potential of social media ecosystems largely contributed to its downfall. Watch a video of the conversation between TheWrap editor and Smith. 5. [Hollywood, Are You Team Human or Team AI? It’s Time to Choose]( By Peter Csathy | Source: [WrapPRO]( Columnist Peter Csathy challenges readers to pick sides in the coming fight to preserve human creativity. "If we accept that AI’s threat to the creative community is real, then we must back up that resolve with real teeth," he writes. According to Csathy, legal and business frameworks should reflect a commitment to human creativity. The U.S. Copyright Office's recent reaffirmation that it will not grant copyright protection to works created without human intervention was cited as an important step. This policy potentially discourages the creation of purely AI-generated works by limiting their commercial viability. Csathy also suggests that the current Hollywood writers' strike could be a moment to affirm the industry's commitment to human creativity, and to establish that AI should serve as a tool to support writers, rather than replace them. 6. [Smaller Movie Theaters Got Creative to Survive – and They’ve Earned a Hot Box Office Summer]( By Jeremy Fuster | Source: [WrapPRO]( The summer movie season has brought a resurgence to the theater industry, with major theater chains like AMC, Regal, and Cinemark in various stages of recovery. However, regional players, premium chains, and independent cinemas have shown resilience and innovation throughout the pandemic, and are now reaping the rewards. These theaters, making up 47% of the approximately 39,000 movie screens in the US, have survived through federal and state grants as well as relief funds from the National Association of Theatre Owners. Theaters have had to be innovative to survive the inconsistent movie release schedule and the slump that followed the summer hits of 2022. For instance, Christian Meoli of the luxury Cinelounge theaters transformed his venues into community hubs offering a variety of events beyond traditional movie screenings. Similarly, Cinergy Cinemas, which operates in multiple states, diversified its offerings by incorporating arcades, bowling, and escape rooms in addition to their dine-in theaters. These enhancements helped them navigate the period when box office revenues were low. 7. [AI and the Law: It's the 'Wild, Wild West' Out There]( By Kelly Hartog | Source: [WrapPRO]( In the latest installment of TheWrap's series covering AI in Hollywood, Kelly Hartog examines key legal disputes that could shape how copyright gets applied to the emerging uses of generative artificial intelligence. Many lawsuits involving AI copyright infringement are making their way through the courts, and the outcomes of these cases could shape the future of AI in the entertainment industry. For instance, Getty Images is suing Stability AI for using its images to train its AI image-generating software. Additionally, cartoonist Sarah Andersen and other artists are suing AI companies over the use of their work without permission. The rulings on these cases could potentially set precedents for how AI-generated content is treated under copyright law. 8. [Tucker Carlson's New Twitter Show Could Be a Moneymaker - or Just a Noisemaker]( By Robert Carnevale| Source: [WrapPRO]( Tucker Carlson's move to Twitter after leaving Fox News could be a potentially lucrative venture due to several monetization options such as subscriptions, advertising, and merchandise sales. For instance, if 5% of his 7.3 million Twitter followers sign up for a $5 monthly subscription, that could generate nearly $22 million a year, although Twitter would take a 20% cut. Additionally, Carlson could leverage his existing merchandise store and Twitter's new Tips system for further revenue. The shift to Twitter is not only about money, but also about control and freedom of speech. Several industry experts suggest that this move could be part of a long-term strategy for Carlson, allowing him to bypass traditional media gatekeepers and directly reach his audience. This aligns with Twitter owner Elon Musk's advocacy for free speech, and could help bring conservatives back to the platform. 9. [Hello, He Lied: CNN Goes After Trump Lovers – and Fox Viewers – With a Fabrication-Filled Town Hall]( By Benjamin Svetkey | Source: [WrapPRO]( CNN's decision to host Trump was driven by ratings, not civic duty, writes Svetkey. Last summer, CNN shifted towards a more right-leaning perspective, firing critics of Trump's "fake news" narrative in an attempt to attract Fox viewers and improve its flagging ratings. However, this strategy has not been successful, with CNN's viewership falling about 16% in total and 21% in the key 25-54 demographic over the last year. The pursuit of MAGA viewers is seen as a risky strategy. Fox News faced legal repercussions for spreading misinformation about Trump's election fraud claims to retain Trump supporters, resulting in a $750 million lawsuit settlement with Dominion Voting Systems. Critics argue that CNN risks losing its credibility as a respected news organization in its quest for higher ratings. 10. [WGA Strike Roundtable: ‘I Can’t Support My Family for the Rest of the Year’]( By Jeremy Fuster | Source: [WrapPRO]( The ongoing Writers Guild of America strike has spotlighted the unique challenges faced by parent writers, with many having to juggle picketing and childcare. They've organized events like "family day" on the picket lines to provide networking opportunities for writer parents and also to highlight the realities of writers' lives to the public. A key demand of the strike is to reverse the decline in writer pay. Many writers, particularly those with children, are finding themselves forced to turn down creatively fulfilling jobs if they don't offer enough episodes to provide a decent wage. This is especially relevant in the era of streaming, where shorter series are more common. With a focus on delivering actionable intelligence, the PRO Tip Sheet empowers readers to stay ahead of the game in the industry. Want to go deeper? Subscribe to WrapPRO today. [SUBSCRIBE TODAY]( TheWrap | 2034 Armacost Ave Los Angeles, CA 90025 [Unsubscribe](

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