Los Angeles – A consortium of paparazzi photo agencies has
been formed to seek additional compensation when their work is used on People
magazine’s application for Apple’s iPad, according to The Hollywood Reporter.

are expected to be a "core component" of People’s iPad app, which is
expected to cost $4.99.

Sources told THR People is arguing it should be able to
use the photos for free, since it has already paid an online licensing fee.

However, the photo agencies are reportedly threatening to pull their photos
from People’s print edition if they aren’t provided additional compensation for
iPad usage.

"[The photo agencies] realized that in most cases
was not making ad revenue or subscription money off extended use of their
photos," Brandy Navarre, a vice president at photo agency X17, told THR.

when you’re talking about paid apps supplemented by advertisements, that’s
something different altogether."

Agencies reportedly seeking additional
compensation from People include Bauer-Griffin, Startraks, Pacific Coast News,
Splash News, Flynet Pictures, Star Max, INF and Fame Pictures.


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(Hollywood Reporter)