Clearly, because of what he mentioned with Heroes and because you can buy episodes on ITunes, the WGA can't just continue to get zero for internet. However, there needs to be some wiggle room in this first negotiation. How much extra do companies get charged to be an online sponsor? Is it a flat rate or on a per hit/play scale?

The WGA's mistake (and its the same one that they made with reality TV) is that they are trying to take a hard line on something that they don't really understand. They are trying to make a stand on this but the networks haven't even figured out the medium and they certainly aren't going to make a deal that could cost them money.

The WGA already has screwed themselves. AMPTE said Let's go with the current DVD pay scale for films bought on the internet. WGA said no because they wanted the DVD percentage raised. Next thing you nkow, the WGA has taken the DVD issue off of the table and is focusing on New Media.

The WGA needs to come up with a interim system and make it known that this issue will be up for negotiation in three years. DVD pay scale for movies/shows bought on the internet. And (this could change depending on the type of ad buys the internet gets) an extra residual payment for every episode aired online.

The idea that giving up ground on this issue will spell doom for any and all future negotiations and could lead to deteriorating benefits in the future is exactly the wrong way to approach this. If there was some place where they could have stood strong it was in the DVD percentages. New Media is where there needs to be some give and take.