PRO Tip Sheet: 5 Insights From WrapPRO

This week on WrapPRO 5 Insights From WrapPRO This week on WrapPRO, we learned why AI was the talk of Cannes, how live music points a way out of the Matrix and what poor international box office for "The Little Mermaid" means for Disney's remake strategy. [Read More on WrapPRO]( 1. [Cannes 2023 and the Shaky Movie Business: Film Finance Beckons but AI Terrifies]( By Sharon Waxman | Source: [WrapPRO]( - The global box office is still down 30 percent compared to pre-COVID numbers in 2019, indicating a significant decline in the movie business with potentially permanent effects. - Up-and-coming producers are facing limited opportunities in the changing landscape of the movie business, where visibility of A-list talent or highly visible directors is crucial for success. - Uncertainty looms over the future of the film industry, including the viability of traditional models like territorial buying and theatrical releases, as well as the challenge of securing distribution for financed films. [Keep Reading]( [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. 2. [Why Film Writers Are Striking: It’s About Lower Streaming Pay for Them, Too]( By Jeremy Fuster | Source: [WrapPRO]( - Screenwriters worry that the WGA strike's superficial focus on TV, where production has taken an immediate and visible hit and where issues like mini-rooms have fueled controversy, means their concerns are taking a back seat. - The WGA's proposal to studios includes some improvements for film writers, like paying the first 50% of the first step upfront to safeguard writers from exploitation and implementing a mandatory second step for productions that pay less than 250% of the minimum rate. - The WGA is calling for streaming features with budgets over $12 million to receive the same terms in initial compensation and residual pay as theatrical releases, a proposal countered by the AMPTP with only a 9% increase in initial compensation for streaming films above a specific threshold, without any changes to residual pay. [Keep Reading]( 3. [Keanu Reeves and BottleRock Show Us a Way Out of the Matrix]( By Peter Csathy | Source: [WrapPRO]( - The recently concluded BottleRock music festival in Napa highlighted the enduring power of live music and shared experiences in a digital and AI-driven world, underlining the importance of real-life interaction over virtual experiences. - Goldman Sachs expected the global live music market to gross $26.5 billion in 2022, and forecasts that market to grow 7% a year from 2023 to 2030 to reach $38.3 billion, with music festivals the increasingly “dominant segment.” - Live music and other IRL experiences offer counter-programming to tech-induced isolation and cannot be replicated by AI, no matter how hard it tries. [Keep Reading]( 4. [Why ‘Little Mermaid’ May Mark the End of Disney’s Remake Factory Hits]( By Scott Mendelson | Source: [WrapPRO]( - Disney's strategy of remaking animated classics as live-action movies is being scrutinized after the live-action remake of "The Little Mermaid" yielded weaker international box office numbers than previous successful remakes like "Aladdin" and "Beauty and the Beast." - There's concern that turning recent films like "Frozen," "Tangled," and "Moana" into live-action remakes may not have the same nostalgic pull that Disney Renaissance-era films offer, and these recent films have only been out for a few years. - One potential benefit of remaking recent films is the opportunity for Disney to reinvigorate its consumer-products business with new character depictions and outfits, but there is a risk that live-action remakes might hinder potential animated sequels for these recent films. [Keep Reading]( 5. [Can Linda Yaccarino Lean on Hollywood and Media to Turn Twitter Around?]( By Robert Carnevale | Source: [WrapPRO]( - Since Elon Musk's takeover of Twitter, the platform has seen a 50% reduction in revenue as advertisers pull back, awaiting the impact of Musk's leadership changes, which have included letting more unsavory content appear alongside their advertisements. - Despite a general pull-back in marketing spending by streaming services, major companies such as Disney continue to advertise on Twitter, leveraging the social network's reach and audience as long as it remains valuable. - The impact of Twitter's advertising on box office sales is highlighted with movies like "The Super Mario Bros. Movie" and "Guardians of the Galaxy Vol. 3" beating their opening weekend projections after utilizing Twitter’s Promoted Trends product; a pre-pandemic survey suggested that Twitter users are 31% more likely to see a film in a theater on its opening weekend compared to users of other social platforms. [Keep Reading]( 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](