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Hollywood Faces Crisis Amid Strikes and Streaming Wars

The Rise and Fall of a Hollywood Dream: Michael Fortin’s Journey

Michael Fortin stands as a poignant symbol of the highs and lows of Hollywood’s golden age of streaming. Once a thriving actor and aerial cinematographer, Fortin transformed his passion for flying drones into a lucrative business in 2012, coinciding with the explosive growth of streaming platforms like Netflix, Amazon, and Disney. For nearly a decade, he soared above film sets, capturing breathtaking aerial shots that became a staple of modern cinema and television.

A Family Man Facing Hardship

However, the tides have turned dramatically for Fortin. Recently evicted from his Huntington Beach home, where he lived with his wife and two young children, he now faces the grim prospect of homelessness once again. The family relocated to Las Vegas in search of more affordable living, but financial pressures have followed them. “We were saving to buy a house, we had money, we had done things the right way,” Fortin reflects. “Two years ago, I didn’t worry about going out to dinner with my wife and kids and spending 200 bucks. Now I worry about going out and spending $5 on a value meal at McDonald’s.”

The Impact of the Writers’ Strike

The dramatic shift in Fortin’s fortunes mirrors the broader upheaval within Hollywood. The once-booming industry came to a grinding halt in May 2023 when writers went on strike, marking a historic moment as both writers and actors united for the first time since the 1960s. This unprecedented solidarity effectively shut down production across the industry, leading to a significant downturn in job opportunities.

Despite the conclusion of the strikes, the anticipated resurgence in production has not materialized. In the year following the strikes, many projects were canceled, and studios slashed budgets, leading to layoffs. Paramount, a storied name in the industry, recently announced a second round of layoffs, cutting 15% of its workforce in preparation for a merger with Skydance.

Unemployment and Production Declines

The ramifications of these labor disputes are stark. As of August, unemployment in the film and television sector reached 12.5%, though many industry insiders believe the actual figure is much higher. Many workers do not file for unemployment benefits due to ineligibility or have exhausted their benefits after prolonged periods without work.

The decline in production is alarming; the number of U.S. productions in the second quarter of 2024 plummeted by approximately 40% compared to the same period in 2022. Globally, the decline stood at 20%, according to ProdPro, a company that tracks TV and film productions. This downturn translates to fewer new movies and binge-worthy shows for audiences, leaving many to wonder about the future of entertainment.

The Unsustainable Streaming Boom

Experts suggest that the streaming boom was never sustainable. Studios are grappling with how to remain profitable in a landscape where traditional cable TV, funded by commercials, is fading. Matthew Belloni, founder of Puck News, describes the current situation as a “crisis,” noting that the content bubble has burst. “The air has come out of the content bubble,” he explains. “There were 600 scripted live-action series airing just a few years ago, and then the stock market stopped rewarding that.”

The rapid growth of tech giants like Netflix fueled an overheating of the content market, leading to a crash that affected many studios. While Netflix has managed to recover, others continue to struggle with profitability, prompting a reevaluation of production strategies.

The Shift in Production Landscape

Adding to the challenges faced by Hollywood is the migration of productions to states and countries offering attractive tax incentives. In response to this trend, Los Angeles Mayor Karen Bass has established a task force to explore new incentives for film production in the region, emphasizing the entertainment industry’s critical role in the local economy. Recent data indicates that the entertainment sector contributes over $115 billion annually to the Los Angeles economy, supporting more than 681,000 jobs.

The Aftermath of Strikes and Future Prospects

The strikes resulted in new union contracts that provide better pay and protections against the encroachment of artificial intelligence in creative roles. Duncan Crabtree-Ireland, chief negotiator with the Screen Actors Guild, acknowledges that some consolidation in Hollywood is inevitable but expresses optimism for a resurgence in production. “What makes these companies special is their relationship with creative talent,” he notes, highlighting the importance of innovation in keeping content fresh.

For Michael Fortin, the aftermath of the strikes has been devastating. Once a regular on set, he has flown drones just 22 days since the strikes ended and has only worked as an actor for 10 days. The financial strain has forced him to reconsider his options, as the pay from background acting barely covers his travel expenses from Las Vegas to Los Angeles.

A Personal Reflection

“It was a great wave, and it crashed,” Fortin reflects after a day of flying drones for the AppleTV+ show Platonic, his first job since April. “Things are coming in little by little,” he says, expressing a glimmer of hope amid the uncertainty. Yet, as he prepares for a court hearing to contest his eviction, he cannot shake the feeling of betrayal. “Hollywood gave me everything,” he laments. “But it feels like the industry has turned its back on lots of people, not just me.”

In a landscape marked by volatility and change, Fortin’s story serves as a reminder of the human cost behind the glitz and glamour of Hollywood, where dreams can quickly turn into struggles.

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