While combining the rivals may make sense in a battle for scale with Ari and company at Endeavor, focused boutique firms also see an opening: “It makes us a smart alternative.”
Even as the agency leaders tout a “partnership” that “bolsters our collective resources, expertise and relationships,” workers at both companies are fearful, sources tell. Many remember what happened after the merger of William Morris Agency and Endeavor in 2009, wherein the Ari Emanuel and Patrick Whitesell-led Endeavor, with 80 agents, combined with WMA, at 300 agents, creating WME. That deal resulted in many layoffs, especially on the WMA side.
In such a fear-filled environment, rival agencies have been fielding calls from nervous agents making overtures. Recently, ICM co-president Kevin Crotty was making calls to agents to soothe fears. The merger plans have drawn notice from SAG-AFTRA, whose national executive director Duncan Crabtree-Ireland says the union will “carefully scrutinize” the deal, which is expected to close this year. And the CAA-ICM marriage arrives after all the major agencies made peace with the Writers Guild of America in a long-running feud and pledged to sunset packaging fees and cap ownership in affiliated production companies .
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