July 2023 strike

Photo by Joe Piette, Flickr.

The Fateful Strike

(The Algorithmic Governance of Capitalism)

issue #7 :: July 2023

The recent involvement of the Hollywood Actors Union (SAG-AFTRA) – formed in 2012 through the merger of the Screen Actors Guild and the American Federation of Television and Radio Artists – in the ongoing Writers Guild strike, now persisting for over three months holds significant importance.

While some may argue that the issues in question are not relevant to our Arab region, citing the distinct complexities and challenges faced by our industry, it is essential to acknowledge that the developments unfolding in the United States of America reverberate across the globe. The events in Hollywood hold significance far beyond its borders and provide valuable insights into the potential challenges that other societies might soon encounter.

What is happening in Hollywood?

The conflict in Hollywood centers on two main points the Actors Union was negotiating with the Cinema and Television Producers Union before reaching a stalemate. The first pertains to actors’ royalty fees, particularly concerning streaming platforms like Netflix, Disney, and Amazon. These studios adamantly refuse to disclose viewership numbers, directly affecting actors’ compensation. They remain resolute in retaining every penny of their massive profits, shamelessly exhibiting the dominance of a profit-driven capitalist model.
Streaming has fundamentally transformed the traditional economic model of film production, affecting financing, profit generation, and even artistic expression. Despite the increasing number of viewers and soaring profits, actors’ fees remain stagnant, leading to financial struggles for many, especially those beyond the major Hollywood stars.

The second point of contention, and perhaps the most dangerous one, involves the rights of actors when their images are utilized through artificial intelligence (AI), particularly for background actors or extras. The Cinema and Television Producers Union proposed a deal where these actors would receive one day’s wage after being photographed using full-body scanning, granting producers the perpetual right to reproduce their characters through AI in any future film without prior consent, time limits, or compensation. Essentially, the producer would forever retain complete ownership and control of the actor’s image in exchange for a single day’s wage. That insolent offer sparked a revolution among actors and led to the declaration of a general strike.

What’s at the heart of this conflict?

At its core, the conflict can be viewed in two dimensions. First, it is fundamentally a struggle between labor and capital, where the paramount concern of business owners is unabashedly profit-driven. This capitalist model prevails not only in the film industry but also in sectors such as weaponry, food production, and technology, effectively granting a few powerful corporations control over numerous facets of human life, including artistic creation. This overarching model presently governs not only the United States but also influences the entire global landscape. See, for example, the investments of Blackrock and Vanguard.


Secondly, the conflict’s most crucial and dangerous aspect lies in the confrontation between humanity and artificial intelligence. Although not long ago, the dangers of AI to humans seemed distant and fictional; rapid technological advancements have transformed it into an existential threat. While AI has yet to completely replace the traditional film industry, its potential to do so looms ever closer. The Hollywood Producers Union’s attempt to secure the rights to use actors’ images through AI clearly indicates this imminent transformation.

The impact of AI’s development on art, artists, writers, intellectuals, and various professionals will closely resemble the impact of the industrial revolution on factory workers. Human society must establish limits on the use of AI and enact legislation to regulate its influence. However, governments of major powers have shown reluctance to intervene to mitigate the potential risks arising from the unrestricted control of AI. As capitalism seeks to maximize profits by minimizing human labor costs, the inevitable adoption of AI in various sectors poses severe dangers. The horrifying prospect of a capitalist-controlled AI system could lead to a surge in unemployment, leaving countless individuals to suffer from poverty, disease, or even slavery.

The ongoing strike by the Hollywood Actors Union marks the world’s first confrontation between human workers and algorithms manipulated by a handful of greedy entities. This struggle is not limited to the film industry alone; it exemplifies a broader reality across all sectors of human production, further deepening the divide between the impoverished masses and the immensely wealthy few.


What to do?

To counter these impending challenges, trade unions once again emerge as a crucial force capable of confronting the imminent changes in the absence of governmental intervention or with the complicity or ignorance of some governments. Throughout history, unions have proven effective in influencing policymakers within governments and companies, advocating for the best interests of all people. They offer a glimmer of hope in protecting workers’ rights and shaping laws that consider their well-being.
Regardless of our artistic and political views on Hollywood and its industry, the strike undertaken by actors and screenwriters holds immense importance. It represents the first union-driven confrontation with AI, demanding close observation to learn valuable lessons.

In our region, the situation is considerably more complex. Unions often face significant challenges, ranging from absence to division or being co-opted by ruling regimes. Many artistic unions, which were once advocates for artists’ interests, have transformed into tools of censorship controlled by regressive security agencies. These issues must be addressed, and the battle must start anew by reconfiguring some unions and reclaiming others from the clutches of tyranny.

We must be mindful that the struggle against colonialism, in all its manifestations, will intensify, leading us into a more challenging era. The forces wielding power over the destiny of our planet will undoubtedly exploit artificial intelligence to solidify and extend their control, a process that has already begun. As a result, unprecedented battles may erupt between these dominant forces, unlike any witnessed in human history before.

At the level of the film industry, the first crucial step entails rebuilding our syndicates and empowering them to play an active role in formulating and enforcing laws that protect the film sector in Arab countries.

We must approach this endeavor with unwavering determination, as the forthcoming developments are bound to bring profound shifts in the concept of labor and its execution, likely leading to the falling of the world’s entire wealth and inhabitants as prey to a rapacious bunch of insatiable ogres.