Talks Fall Apart, Writers Continue To Strike Over New Media RatesTalks Fall Apart, Writers Continue To Strike Over New Media Rates

About two weeks ago, it seemed that the Writers Guild of America and the Alliance of Motion Picture Tellers and Producers were on the verge of an agreement to end the writers' strike.

The talks over how to handle profits from digital media stalled again Friday.

The WGA claims that the AMPTP rejected its demands for revenue from Internet streaming and is trying to hold onto a $250 fixed rate for unlimited streaming over the course of a year. That rate would kick in after six weeks of free streaming. But that's not the only sticking point.

"They refuse to cover original material made for new media," the group said in a prepared statement.

The AMPTP blamed guild negotiators, saying their tactics aim to delay or derail an agreement and advance political agendas, rather than end the writers' strike.

The guild claims that the AMPTP refused to negotiate unless it accepted an ultimatum that would require it to give up six of its proposals, including one that aims to protect against self-dealing, one that addresses animation and reality shows, as well as proposals that use distributor's gross revenue collections as the basis for residuals.

"This would require us to concede most of our Internet proposal as a precondition for bargaining," the group explained. "The AMPTP insists we let them do to the Internet what they did to home video."

When home video was new, the two sides struck a deal that allowed reduced residuals while the market grew. The deal was based in part on the cost of producing videos.

The AMPTP characterizes the six proposals as "unreasonable demands" that would give writers full control over reality television and animation by making union membership mandatory and prohibiting networks from airing reality and animated programs if the writers aren't union members.

The group said the proposal for Internet revenue would cost more than producers receive, "thereby dooming the Internet media business before it ever gets started." The AMPTP said that the union wants ad revenue, which the producers themselves don't receive. Finally, the producers group said that it opposes residual rates set by a third party.

The AMPTP said it offered to increase writers' salaries to more than $230,000 a year, while also agreeing to provide revenue from streaming video and other new media.

"However, under no circumstances will we knowingly participate in the destruction of this business," the AMPTP said in a prepared statement.

Meantime, both sides continue to hit the Internet hard with their respective messages. The WGA's United Hollywood site hosts small skits (humorous and serious) and its Speechless series featuring Hollywood stars such as Woody Allen and Tim Robbins.

The AMPTP's news page features slick Web graphics that fade in newspaper and Internet reports that are sympathetic to its position.