In Hollywood, the fade to black begins

Like a rolling blackout, Hollywood is shutting down.

Fallout from Friday's collapse of negotiations for a new contract between writers and studios will in the weeks and months ahead leave audiences with dwindling entertainment choices.

If the five-week-long strike by the Writers Guild of America continues, it's also poised to affect the awards season, the annual ritual of self-congratulation and promotion that runs through the winter.

And in short order, both the television networks and the movie studios will begin to suffer financial pain as the lack of original content prompts viewers to flee -- with advertisers not far behind.

"It's a dangerous time for the industry," said producer Richard Zanuck, who ran the studio at Fox for nearly a decade and whose current movie, "Yes Man," starring Jim Carrey, has been a target of picketing. "That doesn't mean that the companies have to give away the store to keep things alive or just stay afloat, but I think it's just a very dangerous time."

Both sides left the table Friday with a lot of rancor, and no new talks are scheduled. Further complicating any resolution is the looming prospect that the Directors Guild of America, whose contract expires in June, could reach an early agreement with the studios.

From movie stars to hair stylists, the Hollywood food-chain economy is highly integrated, with a disruption at one end causing dislocation at the other. Without original TV episodes or movie scripts ready to shoot, the supply of new content will quickly dwindle, leaving audiences with nothing to watch except reruns, reality TV shows and, as happened after the 1988 strike, a wave of films that are likely to be critically disappointing.

Although the studios are banking that they can hold out for at least six months, the long-term effect could be enormous not only for the entertainment industry but also for the region. Hollywood's stream of products contributes nearly 7% -- an estimated $30 billion annually -- to L.A. County's $442-billion economy, according to the Los Angeles County Economic Development Corp. If the strike continues into next year, which seems possible now, it will result in the loss of $1 billion to the local economy, the development group estimates.

Beyond the bottom line, there is the question of what a long and fractious strike would do to the connective tissue of a town built on relationships. Certainly, tensions are rising.