Studios warn of production cuts following strike

US network ABC has warned that the current writers’ strike will reduce production budgets in future.

Television and film writers began striking at 12:01am on November 5 as negotiations with the Alliance of Motion Picture & Television Producers broke down. Writers are unhappy with the percentage that they have been offered with regards to their shows being sold on the Internet.

McPherson said that the strike will harm future production budgets, as a result of lower viewing figures. "It will be a disaster for the entire TV production industry," he told TBIvision.com.

ABC will rely on mid-season series such as Cashmere Mafia, the Darren Star drama produced and distributed by Sony Pictures Television International.

Meanwhile, the international distribution arms of the Hollywood studios are preparing for the knock-on effect caused by the strikes. They are establishing how many episodes are ready to go, what can still be produced and are in talks with international broadcasters. One studio source told TBIvision.com that contracts between the studios and buyers include an "act of god" clause that covers such unforeseen circumstances.