Hollywood unions entering new frontier: tech explosion could widen scope of talks.

Now that podcasting and other new distribution channels have taken Hollywood by storm, they could become an issue at the bargaining table.

Rapid moves to make network content available through cell phones, iPods and other portable devices are quickly being raised among writers and actors as an area for negotiation during upcoming contract talks.

There's still a lot of time for maneuvering. The studio agreement now in place for writers doesn't expire until November 2007, while the actors' contract is up in June 2008. But both the WGA and SAG have recently elected officers who have promised more aggressive negotiating positions--borne out by the firing of their top executives. The studios are already mapping out strike contingencies.

Meanwhile, the development of new distribution channels has been so rapid that there's no telling what kinds of revenue streams might be in place six or 12 months down the line.

"The technology has been an explosion," said Mona Mangan, executive director of the Writers Guild of America East. "It's a reuse and an additional use for which companies make money, and writers are entitled to royalties."

Mangan said the issue of how to share royalties from these new revenue sources would be discussed at future negotiations, but no timeline has been set. One stumbling block is that the guilds, networks and studios must come up with a formula for how artists and guild members should be paid. Do they use an existing compensation formula, twist an old one, or come up with something completely new?

"There's a lot of catching up to do," said John King, a copyright and media law specialist with the Washington office of law firm Garvey Schubert Barer. "Undoubtedly, the parties are going to have to address that in contractual agreements and the collective bargaining process that takes place. It is difficult, and so much is up in the air fight now."

Last month, the WGA, along with the Screen Actors Guild, the Directors Guild of America and the American Federation of Television and Radio Artists, issued a joint statement noting that the unions "look forward to a dialogue that ensures that our members are properly compensated for this exploitation of their work."

WGA West President Patric Verrone said he believes podcasting of already broadcast news material is covered under the current WGA contract. But new, creative content is another matter. "We would submit that requires our union to organize the writers that are doing (the work)," he said.

An AFTRA spokesman said it was unclear how performers might be compensated for material distributed through the new channels. "Contracts provide for different models of compensation based on type of usage, Internet or what have you," said spokesman Chris de Haan. "It's common knowledge that there are lots of compensation models, and (podcasting compensation) could be entirely new or could be based on an existing model."

The issue is made more complicated because not all the networks are proceeding at the same pace in making their content available for download. That leaves guild officials to ponder whether to address, the issue with individual studios and networks, or wait until everyone catches up before trying to strike a deal.

Executives at the networks did not return calls for comment.

Much of the discussion centers on podcasting, which allows audio and video content to be downloaded onto handheld devices such as iPods and cell phones. When Apple Computer Inc.'s video iPod debuted in October, ABC was first to strike a deal by offering episodes of several of the network's primetime shows, including "Lost" and "Desperate Housewives," through Apple's iTunes service for $ 1.99 each.

Last month, CBS began distributing free audio podcasts, including "60 Minutes." Just last week, it was reported that ABC parent Walt Disney Co. was in talks with Verizon Wireless to produce short podcast versions of "Lost" for the carrier's cell phone customers.

The concern among Hollywood guilds resembles previous flaps over then-emerging distribution channels such as videocassettes and DVDs.

The studios argued that they depended on DVD revenues to keep afloat. The DVD agreement, which has been a source of internal bickering within the unions, has only 20 percent of all video revenue set aside for royalty payout, with the remaining 80 earmarked for the studios. In return, the guilds won concessions on health care and other benefits.

Podcasting at a Glance

* Radio podcasts became available in September 2004, video 'vodcasts' in 2005.

* ABC and CBS were first to announce plans to podcast network content this fall.

* Hollywood guilds are concerned about royalty payments for podcasts.

* The current writers and actors studio contracts expire in 2007 and 2008 respectively.