Hollywood agencies want studios to spend half their content budgets on independent productions
The American Entertainment Alliance, formed by agencies CAA, UTA and WME alongside prominent producers, is pushing for federal legislation requiring major entertainment companies to devote at least half of their original-content budgets to independent US productions. The group argues that the rule would increase production, creator ownership and jobs; studios are likely to oppose it, saying they already buy work from outside companies, according to The New York Times reporting cited by the outlets.
Bottom line — The proposed 50% requirement would need to pass Congress, where studios are expected to lobby against it.
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The alliance includes producers Ron Howard, Brian Grazer, Jason Blum, Mark Burnett and Peter Chernin, according to IndieWire and Yahoo News.
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The proposal echoes Fin-Syn, rules that limited US broadcasters’ ability to own programmes they aired; those rules were repealed in the 1990s.
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IndieWire says the alliance also wants production companies to own their shows and retain licensing rights.
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The A.V. Club cites a 40% fall in television production since 2022; IndieWire reports 41% fewer scripted submissions from independent producers.
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The alliance is lobbying for legislation because, IndieWire reports, the FCC has little oversight of streaming services.