TV Writers Strike: How Will It Affect the Cost of Streaming?
Written by
Laura Gariepy
Edited by
Cory Dudak
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For the first time in 15 years, Hollywood writers from the Writers Guild of America (WGA) are on strike. Guild members have been in a deadlock with the Alliance of Motion Picture and Television Producers (AMPTP) since before their most recent contract expired on May 1, 2023.
As a result, the production of scripted programs has come to an indefinite halt. But what could that mean for the cost of your favorite streaming services?
Why Writers Are Striking
Writers are on strike primarily because they’re dissatisfied with the industry’s current pay practices. Since streaming has become popular, writers have worked fewer months out of the year in alignment with shorter show seasons. Plus, roughly half are now earning the Guild minimum, and recent pay increases haven’t kept pace with inflation.
In response, the WGA demands that writers get paid continuously — even when they’re not actively working on a project. But streaming company executives aren’t in a rush to pay talent when they’re not producing, particularly when their services aren’t yet profitable. For example, despite the overall brand operating well into the black, Disney Plus is losing $4 million per day.
Impact To Streaming
Unfortunately, the strike means no new scripted content gets created for the duration. Streaming service providers hope the existing library will maintain subscriber interest until an agreement can be reached. However, it’s unclear how long the strike will last. The longest writer holdout took five months to resolve in 1988.
While members of the Alliance of Motion Picture and Television Producers (AMPTP) want the situation to come to an amicable conclusion, there is a silver lining to the strike lingering for a while. If the strike continues long enough, streaming companies may be able to back out of expensive production deals, improving the company’s bottom line.
What It Means For You
In addition to cutting costs, streaming companies are trying to increase their revenues through subscription price hikes. For example, in April of this year, YouTube TV raised the monthly price from $64.99 to $72.99, a 12% bump.
Fortunately, there are several ways you can reduce your monthly streaming costs.Â
Consider:
- Cancelling services when your favorite show ends and resubscribing when the new season airs.Â
- Taking advantage of special deals. For example, if you’re a Hulu member, you may be able to add on Disney Plus for just $2.
- Pausing your subscription when you’re not watching. Hulu lets you pause for up to 12 weeks. YouTube TV lets you pause for up to six months.
Remember: Streaming services are among the bills you should never put on autopay. If you want to save money on them, you must manage your accounts actively.
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