The Daily Valet. - 5/2/23, Tuesday
✔️ Solidarity! (And a Few Questions)
Tuesday, May 2nd Edition
By Cory Ohlendorf, Valet. Editor
When was the last time you rode in a stretch limo?
Presented by
Today’s Big Story
Hollywood Writers Go On Strike
what should we expect?
Well, here we are. The Writers Guild of America has called for the first strike in 15 years after negotiations for a labor deal with Hollywood studios broke down ahead of the current deal's expiration on Monday. Which means that more than 11,000 TV and film writers across the United States will not go to work today.“Though we negotiated intent on making a fair deal … the studios' responses to our proposals have been wholly insufficient, given the existential crisis writers are facing,” said a statement from the union leadership. The studios, which disclosed that the talks ended late Monday just hours before the strike deadline without an agreement, responded by saying it was willing to improve on its offer, but was not willing to meet some of the union's demands.Late last night, the WGA announced that first picket lines are planned for Tuesday afternoon. During that time, all WGA members will immediately cease any and all writing duties (though they may perform other duties like producing or directing). Of course, the strike comes at a time when both sides say they are feeling financial pain.Many of the media and tech companies producing shows that use the writers have seen drops in their stock price, prompting deep cost cutting, including layoffs. But the writers are suffering from reduced job opportunities and say new industry standards have left them underpaid and overworked.But what does this mean for our entertainment, right? Given the time of the year, most broadcast shows will be in-between seasons. But a longer strike (like the one in 2007 that lasted 100 days) would lead to delays for the upcoming 2023-24 season. Late-night and daytime television shows will immediately halt production. But streaming services and film studios are less affected initially because they produce their content well in advance. But, keep in mind, even if this dispute gets resolved, there's more trouble on the horizon: The studios' labor contracts with the Directors Guild of America and SAG-AFTRA, which represents the actors, both expire at the end of June.
Dig Deeper:
Vanity Fair examines how the streaming bubble burst, saying that the party’s over, and Hollywood is waking up with a splitting headache.
Could the U.S. Really Default?
Biden seeks debt ceiling talks as U.S. faces possible June 1 default
Treasury Secretary Janet Yellen notified Congress on Monday that the U.S. could default on its debt as early as June 1, if legislators do not raise or suspend the nation's borrowing authority before then and avert what could potentially become a global financial crisis. She added that it's impossible to predict with certainty the exact date of when the U.S. will run out of cash.The Congressional Budget Office, a nonpartisan budget agency, updated its own projection on Monday after having previously forecast that the U.S. could default as soon as July. They had previously forecasted a default in July, but blame “lower-than-expected tax receipts” and now anticipate early June as well. Which is why President Biden quickly invited the top Republicans and Democrats on Capitol Hill to meet next week to discuss raising the country's roughly $31.4 trillion borrowing limit, the White House said soon after Yellen's warning.As the Washington Post points out, we've never defaulted on our financial obligations. But Republican lawmakers (who took control of the House in January) have tried to seize on the looming deadline to extract spending cuts and other policy concessions from the White House. If this sounds familiar, it's because we had a similar high-stakes showdown between the Obama White House and the new generation of “tea party” House Republicans in 2011.Of course, Republicans addressed the borrowing cap under President Trump (three times) without demanding fiscal reforms. “Under Biden, they've adopted a more aggressive posture—aiming to use the threat of a fiscal crisis as a political tool while blaming Democrats for the burgeoning debt. In reality, policies supported by both parties have contributed to a growing tide of red ink that could exceed $50 trillion over the next 10 years.”
FYI:
If the U.S. defaults on debt, Fortune says some analysts predict Bitcoin could rise nearly 70%.
Partner
Sounds like she might be due.
Are Paywalls a Problem?
More and more outlets are considering leaving the proverbial gate open
Did you catch any of the speeches from the White House Correspondents Dinner over the weekend? (Of course not.) Well The Daily Show's Roy Wood Jr. gave a particularly funny and biting speech, but what really struck me was his mention of digital paywalls. “The issue with good media is that all the essential fair and nuanced reporting is all stuck behind a paywall. People can't afford rent, healthy food or an education ... they damn sure can't afford to pay for the truth,” he said. “Say what you want about a conspiracy theory, but at least it's affordable.”Legacy publishers are still trying to figure out how to make money online. Paywalls are a regular roadblock (and some are easier to get around than others). According to Axios, many media companies “leaned more heavily into subscriptions during the Trump presidency and the pandemic, but with inflation running high, subscription fatigue is setting in for some.”Now, outlets are dropping the paywalls to invite more readership, reach more people and expand brand exposure. Time magazine will remove its paywall next month. The digital content will now be free, along with its famed archive. It joins Gannett (the U.S.'s largest local newspaper company), which is reducing the number of articles behind its paywall in order to boost the company's ad revenue. They're not alone. Quartz dropped its paywall last year. Spotify is dropping paywalls on some of its podcasts. Even streamers (Netflix, Disney+ and others) have debuted cheaper, ad-supported subscription plans.
Meanwhile:
Vice Media, once valued at $5.7 billion, is reportedly headed for bankruptcy
The Death of the Stretch Limo
Once a symbol of affluence, the stretch limo has largely fallen out of favor
When you hear the word “stretch limo” what comes to mind? Do you think luxurious? Or embarrassing? As the New York Times reports, once a symbol of affluence—used almost exclusively by the rich and famous—the stretch limousine eventually became more of a common luxury, booked for birthday parties and by teenagers heading to the prom in oversized Hummer limos.You don't really see them as much anymore, right? That's because the industry has shifted to chauffeur services in almost anything but actual stretch limos, which have largely been supplanted by black SUVs, vans and party buses. In fact, the elongated cars represents less than 1% of services offered by limo companies, down from around 10% just a decade ago, according to the National Limousine Association.Operators and industry leaders say that the demise of the stretch limo can be attributed to the cumulative effect of a series of blows over several years. The first, they said, was the Great Recession. Then came the rise of Uber and Lyft. There were also a pair of deadly stretch limo crashes that ushered in new regulations in New York State, one of the industry's most important markets. Over that time, stretch limos just fell out of favor, as moneyed folks opted to travel somewhat less conspicuously in sleek black sedans or roomier SUVs. Quiet luxury is everywhere these days, even disrupting the car biz.
RIP:
Slate says car companies are finally ditching the clunky touchscreen infotainment systems for standard buttons.
In Other News
This year, the annual affair celebrates the late designer Karl Lagerfeld.
Have you heard about ...
Partner
Indulge Her With Jewelry
JOhn Hardy has some thoughtful options
When was the last time you got your mom some jewelry? Sounds like she might be due. Treat her to something indulgent and luxurious. Something worthy of the strongest and most complex relationship of all ... a mother and son. John Hardy specializes in quality pieces crafted from the best materials on earth—sterling silver, gold and precious gems. You could get even more personal and surprise her with something that's set with a birthstone (hers, yours or maybe your children).
Want more IDeas?
Shopping
What We’re Buying
A cast iron skillet
Don't have a grill but want the same flavor? This cast iron skillet is pre-seasoned, can withstand up to 500 degrees, and it's under $100. But the real seller? This skillet is dishwasher-safe.
Get It:
Milo ultimate cast iron skillet, $105 / $89 by Kana
Morning Motto
It’s rarely ever that big a deal.
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