Talent agencies and booming youth business
By Shannon L. Bowen

In May, a mini-earthquake rocked the small but fragile world of children’s talent agencies. Mitchell Gossett, one of the best-known kids reps and the man behind the career of Miley Cyrus, left his longtime home at Cunningham Escott Slevin Doherty (CESD) for powerhouse UTA.

At 15, Cyrus, the lead of Disney Channel’s “Hannah Montana,” is not only a household name, she is the force behind a billion-dollar empire of television programming, chart-topping albums and a huge concert tour. A slightly revealing Vanity Fair spread of Cyrus had alone caused analysts to fear that the Walt Disney Co.’s stock might tumble.

So while Gossett’s move was good news for UTA, it was a disaster for CESD, which also lost other Gossett clients, including Taylor Momsen (the CW’s “Gossip Girl”) and Victoria Justice (Nickelodeon’s upcoming “Spectacular!”). The agency will continue to reap revenues from Cyrus for years to come based on contracts already in place, but her future income will now go to Gossett and UTA. And if Cyrus manages to make the difficult transition from teen phenomenon to adult star, as many expect, that could mean hundreds of millions of dollars in lost fees for CESD.

UTA’s entry into the youth market marks a shift in the direction many of the Big Five agencies are taking as they seek to expand their bases, replace revenues from declining star salaries and tap into the burgeoning appetite for younger performers. Click here to read full article.

Source: Hollywood Reporter

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