The creator economy was already exploding. Then Hollywood went on strike

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The creator economy was already exploding. Then Hollywood went on strike
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The latest walkout likely will help turn established actors into TikTok stars — and vice versa

Streaming services now beat out cable and broadcast TV for U.S. viewership and account for more than 37 percent of all TV use nationwide, data from market researcher Nielsen show. But the biggest streamer last month wasn’t Netflix or Hulu, the data found; it was YouTube. More than 75 percent of American teenagers told Pew Research Center last year they watch the Google-owned video app every day.

The worry that creators could spy an opportunity to break into Hollywood’s turf has led some writers and actors to post warnings against undermining the strike on TikTok, where armies of fans have started chastising creators they believe are considering “scabbing” jobs. Franchesca Ramsey, a writer and actress who first gained popularity with her YouTube videos, said in a TikTok video earlier this month that any new deals with studios would be regarded as a betrayal.

When Scheer launched his first Twitch channel in 2020, after the pandemic froze Hollywood, it proved so successful that he and Huebel hosted a two-episode comedy game show there called “Celebrity Yard Sale” that won a sponsorship deal from Hyundai and became a genuine hit. “I’m seeing actors right now take to the internet, when they normally don’t make content, and it’s really powerful stuff,” she said. “Hopefully they find: ‘Oh hey, I have a voice here, maybe I can turn this into something that monetizes for me.'”

In 2021, a year after Netflix told shareholders in a letter that TikTok’s “astounding” growth showed “the fluidity of internet entertainment,” the company launched a short-lived, TikTok-like video feature called “Fast Laughs” and signed a multimillion-dollar deal with one of its biggest creators, Addison Rae.

But Duncan Crabtree-Ireland, SAG-AFTRA’s national executive director and chief negotiator, said the guild is working to use the strike to recruit more creators into its ranks for both this walkout and what he expects will be coming labor disputes with the giants of technology, including companies like Apple and Amazon, which have interests in both traditional entertainment and the creator economy.

Creators generally offer a very different product from Hollywood, reliant less on highly produced stories than on colorful or inventive slices of life. But the content is nevertheless quite popular because it’s quick, free and easily available.

Cynthia Nixon joins SAG-AFTRA members on the picket line outside of Netflix and Warner Bros on July 21.Strikes at this scale often leave a lasting impact on the industry. The last dual actors and writers walkout in 1960, when the industry’s biggest disrupter was TV, led to a deal negotiated by SAG president Ronald Reagan granting actors payments known as residuals when their movies were licensed for the small screen.

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