

The amount the studios are losing from the strike could have paid for the WGA/ SAG requests easily, which makes the studios holding out feel even more ridiculous; but I think it’s not about the money for them.
I think they want to send the message that they hold the power, not the workers, to disincentivize/demoralize future strikers. On top of that, I think they are salivating at the thought of never paying a “creative” again; and AI writers rooms and owning the likeness rights of every extra they ever use would certainly make it easy for them.
The studios are dreaming of the day they can ask a computer to generate Iron Man 7, and it’ll spit out the script, generate CGI acting (including a rubbery PS3 looking RDJ), and it won’t ever need to touch human hands.
The studios want to frame the strike about money (and that is certainly a big issue), but this could very well be a strike for the future of Hollywood’s “soul”; which is why I think the studio heads are willing to take such a bath to keep it going
Don’t give them any ideas LOL.
Overall, I think you’re completely correct. So far consumer LLMs cannot come close to anything a human writer can create, but I’m concerned that Hollywood would gladly take the hit on quality to save on writers. I hope the strikes succeed in preventing AI from entering the writing and acting space, but hopefully they don’t need to make concessions to prevent it.
As an aside, if everyone could create their own movies with AI, I wonder if studios would simply become IP holding companies (more than they already are). Anyone could make Lethal Weapon 5, but only the studio with the likeness rights (and training data) of Rob McElhenney would be able to have it look like the original actors are present.