Chapter 74: Priorities

As one of the top companies in the industry, Anson was naturally familiar with Creative Artists Agency (CAA). He had heard the saying, "There are two kinds of people in Hollywood: those with CAA and everyone else."

But Anson didn't know the origin of this phrase.

Initially, CAA's five founders all came from William Morris, led by Michael Ovitz, who branched out to create their own agency. To differentiate themselves from William Morris's old-fashioned seniority system, the five founders devised a new model focused on teamwork without hierarchy.

In simple terms, while each actor has a dedicated agent, all agents at CAA work collectively for every client, with all resources available to all clients.

For instance, if a film like *Star Wars* was looking for a lead actor and the producers approached CAA, the agency would explore all possibilities by recommending a range of actors. If none were suitable, they would propose more until the perfect fit was found within the agency. If necessary, they would even search for fresh talent outside the agency.

In other words, once CAA takes on a project, they ensure it doesn't slip away to give another agency's artists a chance.

Furthermore, stemming from this strong collaborative ethos, CAA pioneered a new business model in Hollywood—package deals.

This means that directors, writers, and actors, all represented by CAA, are bundled together, with the agency acting as a pseudo-production company. They would package the selected creative team along with the script and sell it to producers or studios, taking control of the project's production from the outset.

As a result, CAA grew increasingly powerful while studios became more passive.

The "Brat Pack" was born this way, with almost all first-generation members hailing from CAA. Similarly, *Friends* followed a comparable path. Though *Friends* wasn't packaged by CAA but rather by another top agency, International Creative Management (ICM), it was inspired by CAA's model.

Nancy Josephson, daughter of ICM founder Marvin Josephson, took the initiative to package the entire *Friends* project, including the main writers and six actors, all of whom were ICM clients. They then sold the package to NBC.

Thanks to this, CAA completely changed Hollywood's rules of the game. They gained increasing control and influence, securing key decision-making power.

They began to negotiate higher pay for their actors and directors, which met strong resistance from Hollywood's top studios. However, after a tug-of-war, CAA emerged victorious, leading to a surge in pay rates and the creation of the "20 Million Dollar Club."

This rise in compensation directly caused Hollywood studios' production costs to triple, significantly altering the entire film industry ecosystem.

From 1990 to 1992, *Premiere* magazine named Michael Ovitz, the head of CAA, as the most powerful person in Hollywood for three consecutive years.

Later, in 1995, Michael Ovitz left CAA to become CEO of Disney, while another CAA founder, Ron Meyer, jumped ship to Universal Pictures, also becoming CEO.

Without a doubt, CAA is a force to be reckoned with in today's Hollywood.

As Edgar had pointed out, there's no need to deny CAA's strength; doing so would only make one look foolish and narrow-minded.

Although Edgar hadn't gone into detail about CAA's origins, the information he did share was enough to underscore the company's status.

From every angle, Anson should choose CAA for the security it offers.

However, there was still a "but"—at least, there was one "but" from Edgar's perspective.

Anson looked at Edgar, "So, what question should I ask Eric?"

Edgar rested his hands on his knees and leaned forward slightly. Not only did he not avoid Anson's gaze, but he also actively met it head-on.

"You could ask him who will plan your career."

---

"Believe me, everyone will give a different answer."

"Oh, by the way, Eric will definitely not attend the meeting alone, because every client of Innovative Artists has the entire company's agents at their service. Naturally, you'll see many people and hear many voices."

"For a new actor, there are plenty of opportunities with Innovative Artists because of the bundled sales approach. You'll see countless performance opportunities."

"But here's the problem: every actor may just be a part of this bundled package. Sometimes it's for a single movie, where the actors are packaged together; other times, it's for different movies, like you acting in this movie in exchange for another actor getting a higher salary in the next one."

"Bundling is both an opportunity and a burden."

"Some projects, some roles, are obviously full of traps. You don't need to be Einstein to see that, but how should you choose?"

"Should you agree? Can you refuse?"

"If you agree, it means you might end up playing some odd roles. If someone is planning your career path, that's fine, but more often than not, no one is planning it."

"If you refuse, of course, that's allowed. An agent can't force a client to sign a contract. Once is fine, twice might be fine too, but three times? Four times? After that, you might no longer have a place in the bundled sales deals."

So that's how it is.

In simple terms, it's about having a voice.

If an actor has a voice, Innovative Artists is like a treasure trove where they can easily find roles they desire.

But clearly, newcomers don't have such privileges.

Edgar's speech wasn't over.

As he spoke, he kept observing, his attention highly focused on Anson's unchanged expression, which showed no sign of wavering.

What was the reason for this?

In a flash, an idea occurred to Edgar, and he added on.

"Oh, you might see a suitable project that you want to fight for."

"Of course, no problem."

"But within Innovative Artists, when you see a project you want to fight for, that project has already been shared with the entire company, top to bottom. Before competing with other actors, you might first need to face internal competition."

"Let's guess, Brad Pitt, George Clooney, and you all want the same role. How would Innovative Artists arrange that?"

"At Innovative Artists, you won't lack opportunities. You'll see them coming endlessly, but like bad romances, you're not sure if you need them."

"Innovative Artists' true success lies in bundling interests, bundling ten people, fifteen people, and sooner or later, one of them will become a top superstar; the other fourteen will all be supporting roles."

"The key is, who decides who that superstar will be?"

"You? Eric?"

"I don't think so."

Finally, the speech came to an end.

Then, Anson spoke, "So what about you? What question should I ask you?"

Fifth update.