PRO Tip Sheet: 5 Insights From This Week

This week we looked at Hollywood labor disputes, an exclusive on Disney's Star Wars hotel, and media challenges in the Israel-Gaza conflict. [5 Insights From WrapPRO]( After talks between actors and the studios broke off, we spoke to Hollywood insiders about the additional demand by SAG-AFTRA that led the studios to balk. We also interviewed survivors of the terrorist attack by Hamas on an Israeli music festival, got the exclusive on the potential return of Disney's $1 billion Star Wars “Galactic Starcruiser" hotel and live experience, chronicled the eternal feud between powerhouse agents Ari Emanuel and Bryan Lourd, and dove deep into media outlets’ struggles to sort fact from fiction in coverage of the Israel-Gaza war. [Read More on WrapPRO]( 1. [Ari Emanuel, Bryan Lourd and the Feud of the Century]( By Umberto Gonzalez & Kristen Lopez | Source: [WrapPRO]( - The rivalry between Ari Emanuel of Endeavor and Bryan Lourd of CAA has intensified, with both now serving as CEOs, affecting not just their agencies but reshaping Hollywood's landscape, from box office hits to red carpet events. - The legal and corporate stakes have risen for both agencies; Endeavor went public in 2021, the first major Hollywood talent agency to do so, while Artemis became the majority owner of CAA, valuing it at $7 billion. - Emanuel publicly called for Lourd and CAA's Kevin Huvane to step down amid a lawsuit involving allegations of sexual harassment, battery, and retaliation, adding a layer of ethical controversy to their ongoing feud. - The contrasting business strategies are also noteworthy: while Endeavor focused on diversification, holding assets in UFC, IMG, and others, and boasting a $9 billion market cap, CAA has seen its valuation soar from $700 million in 2010 to $7 billion in 2023 despite being primarily a service business. - Industry insiders note that the feud may be affecting public opinion; CAA's more understated PR approach is seen as winning favor, while Emanuel’s confrontational style has not changed, highlighting a cultural divide between the two agencies. [Keep Reading]( 2. [Inside the Breakdown of SAG-AFTRA and Studio Talks – A Threat Leads to a Walkout]( By Sharon Waxman | Source: [WrapPRO]( - In a series of meetings between Hollywood's top CEOs and the Screen Actors Guild (SAG), the guild proposed a controversial new ask: a flat $1 per subscriber, per year fee instead of a 1% levy on all streaming revenue, sparking tension among executives. - The CEOs, including Netflix's Ted Sarandos and Warner Bros. Discovery's David Zaslav, had previously rejected any form of revenue sharing and viewed the new ask as incompatible with their business models. - The unique proposal would require the studios to pay the guild directly rather than individual actors, leading studios to fear a similar arrangement could be demanded by other guilds, adding substantial costs in an industry segment—streaming—where most are already operating at a loss. - Talks broke down significantly after this proposal, leading the Alliance of Motion Picture and Television Producers to publicly suspend negotiations, stating the gap between the two parties was "too great to bridge." - SAG-AFTRA chief negotiator Duncan Crabtree-Ireland argued that the new model was an attempt to compromise, countering the studios' claim that the proposal would cost an additional $800 million a year, stating the real cost is approximately $500 million or less than 57 cents per subscriber per year. [Keep Reading]( Join the ranks of high-powered industry leaders who read [WrapPRO]( every day. Want unlimited access to in-depth reporting, analysis, and industry data? [Upgrade to a subscription today](. 3. [Could Disney’s $1 Billion Star Wars Experience Make an Unexpected Return]([?]( By Drew Taylor | Source: [WrapPRO]( - Disney's Star Wars: Galactic Starcruiser, a $1 billion hotel and live experience, closed less than two years after its opening, struggling with low attendance and never turning a profit. - Despite its financial setbacks, the Galactic Starcruiser had the highest guest satisfaction ratings in Disney history, and maintained an average occupancy rate of 70%, with a unique focus on in-universe role-playing. - A post-shutdown survey sent to guests suggests that Disney executives are considering a more streamlined, cost-effective version of the Starcruiser, focusing on technological touchpoints like in-room AI droids over expensive person-to-person interaction. - Industry insiders pointed out that marketing failures and a high price point were key obstacles to the project's success, with suggestions that a more affordable one-day experience could revitalize the concept. - The closure of the Starcruiser had a ripple effect in the themed entertainment industry, leading to the cancellation of a "Game of Thrones" experience by Warner Bros, but an active fan community and potential for numerous storylines indicate lingering interest in the concept. [Keep Reading]( 4. [Media Struggles to Sort Fact From Fiction in Israel-Gaza War as Real-Time News Drives Deadly Results]( By Natalie Korach | Source: [WrapPRO]( - U.S. intelligence agencies assessed that Israel was almost certainly not responsible for the deadly explosion at Al-Ahli Arab hospital in Gaza, contrary to initial media reports, indicating the death toll is likely between 100 and 300. - The rapid dissemination of unverified information led to global condemnation of Israel and impacted international diplomacy, including the cancellation of a four-way summit involving President Joe Biden and officials from Jordan, Egypt, and the Palestinian Authority. - Media expert Brian Stelter criticized the news industry for its handling of the situation, stating that "when information is lowest, interest is highest…it was even worse because when the stakes are highest, it seems that standards were the lowest." - Despite updated assessments from U.S. intelligence, many news outlets continued to present the incident as a "he said/she said" case, drawing criticism for perpetuating misinformation and potentially biased reporting. - The incident had a significant ripple effect, including anti-Israel protests in multiple countries and challenges to the credibility of media outlets, indicating a need for greater caution in real-time reporting on complex, politically sensitive issues. [Keep Reading]( 5. [Death in the Desert: When Hamas Came to an Israeli Rave, Friends Perished]( By Alexei Barrionuevo & Natalie Korach | Source: [WrapPRO]( - For nearly eight hours, Ofek Baribi, after being separated from his best friend Eden Abdulayev, waged a desperate effort to stay alive, as Hamas hunted down and killed more than 260 people who were at the Supernova music festival in Israel. - The Oct. 7 attack left more than 1,300 dead across Israel, shattered the lives of those who journeyed to the desert party and dealt a blow to Israel’s live music industry. - Film and television production in the country has since shut down, and live music events are not likely to resume anytime soon. - “We’re not going to make any parties for a very long time,” said Shlomi Berg, a psy trance DJ. - Electronic dance music has largely avoided the controversies involving the Palestinian-led Boycott, Divestment and Sanctions (BDS) movement, which has pressured actors and pop stars like Lana Del Rey to cancel shows in Israel. - Supernova was the inaugural Israeli version of Universo Paralello, a psy trance rave from Brazil. - Din Tessler, a security guard at the festival, attempted to bury himself deeper in the bush to prevent being caught by terrorists. - It was the parents of the ravers who came to rescue their children, not the police or the military. “It was like the army was paralyzed for eight hours,” said Baribi. - Kessler later learned that his best friend and co-worker, Bar Kupershtain, had been kidnapped by Hamas, a video released by Hamas showed. - Four days after the rave, Baribi found out that his friend Abdulayev had been killed in the Hamas attack. [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? [Explore WrapPRO today](. [LEARN MORE]( TheWrap | 2034 Armacost Ave Los Angeles, CA 90025 [Unsubscribe](