The Business of Comics Blog for July 28th, 2026

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AI Kills a Book-to-Movie Deal: There are a lot of reasons why comic book creators are against the use of AI in the creation of their art. Hollywood recently added one more rationale to avoid the technology. It appears that a book-to-movie deal was recently killed because AI was allegedly used to create the underlying manuscript. Now the studio didn’t walk away from the project because they have some moral stance against AI. The choice was made for purely practical reasons. You see, when any media is made from a pre-existing book, there needs to be a what is known as a clear chain of title before the project can move forward. Chain of title is a legal term that sounds imposing, but it really boils down to the idea that you can’t sell what you don’t own. In this case, ownership of the story means that you have the copyright for the book. But the copyright office has made it clear that AI-generated books aren't protected by copyright in the same way as other books. If there is no copyright, there is no clear chain of title. If there’s no chain of title, the studio will not make that movie. This move mirrors the stance that many of my publisher clients take with creator-owned books, so if you want to use AI to make your comics, you’re going to have to accept the idea that publishers probably won’t take them, and film and television based on that story might never be made.

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Artists Speak Out Against Silver Sprocket: Right before San Diego Comic Con, a group of comic creators released an open letter about the indie publisher Silver Sprocket. The letter alleges systemic accounting problems, financial miscommunications, and a general lack of professionalism, in addition to late or missing royalty payments. It isn’t unusual for comic creators to have complaints about their publisher, depending on the publisher, but this case highlights two distinct issues. First, the basis of these accusations is a textbook example of what is known in the entertainment industry as Hollywood accounting. Hollywood accounting is what a studio or publisher does to manipulate the financial records of a particular project to ensure that the creative people involved receive as little as possible, if they receive anything at all. It is most associated with the film industry, but the principles (if you can call them principles) can and are used in comics, although it is unclear if that’s what's going on in this situation. The other issue is that the creators decided to release an open letter to the industry, rather than go after Silver Sprocket in court. There might be several reasons for this, but one of the persistent problems in the comic book industry is that creators often can’t or won’t pursue court claims against publishers who might have breached their contracts, either for financial or professional reasons. This general lack of enforcement tends to undermine the rights creators fight for in contracts. If you’re not willing or able to enforce the rights you have in a contract, ‍

Does Synergy Lead to Restirictions?: Here’s a creator question: Will Marvel Comics’s move to LA and increased synergy with Marvel Studios lead to more restrictive stories?

I’m not really sure what you mean by restrictive, since Marvel has always had creative limitations on what goes on in the Marvel Universe even before the Comics Code, but if you mean that the comics won’t stray far from the storylines in the film and TV shows, I don’t think that will be the case. From my perspective, Marvel Comics serves three overall functions for Disney: First, they are an R&D arm for the studios. They can produce stories at lower costs, and with faster direct feedback than a TV pilot or a test screening. Second, they serve a marketing function to promote the IP to the core audience on an ongoing basis. Finally, they need to generate some money to pull their weight for the Mouse. I don’t think any of those core functions are going to change when the comics division is in the same building as the studio executives, although the turnaround time for coordinating between the studios, licensing, and comics might be faster. The bottom line is that the freelance talent making the comics will still be spread around the world, so if the functions of the company remain the same, and the overall talent pool is the same, you might not notice a difference in the comics you pick up.

What is IP?: There were several professional panels at San Diego Comic Con this year discussing how to develop, pitch, and protect IP. Unfortunately, none of the panels I attended explained what IP was or why it needs to be protected. At the risk of being overly unsophisticated, I think it’s important for comic creators to know what it means when they’re talking about IP. Legally, IP, or intellectual property, focuses on intangible creations of the human intellect. In English, that translates to the ownership of the expression of ideas. So, when you create a comic book, or the elements of a comic book, you are creating intellectual property, specifically, a copyright. When you sell multiple comics, or any other item related to your comics, using a name or image from the story, you are also creating intellectual property, specifically a trademark. The reason that IP is important is that whoever owns the IP controls what happens to it, and is entitled to any money that comes from it. At their core, companies like Viz, Penguin Random House, Marvel, and DC make money because they own or control valuable IP. The basic rule of the game is the more IP you control, the more money you can make. The reason that it is important to understand how to protect your IP is that you can lose ownership and control very easily. You could sign your name to a contract, use a piece of software, or create IP with someone without having clear terms of who owns what. IP is the core of the comic book business. If you’re making it, it helps to understand what to do with it.

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Why are you making comics? Last week, I posted a video explaining the impact of signing away your original characters to DC or Marvel as a part of a freelance deal. That post generated a comment that is worth exploring. The comment says “Here’s the thing, if you don’t sign over the rights to your new characters, you better hope that you’re creating a new Spider-Man or Batman, because otherwise your character will just never be used in expanded media.” Now this comment ignores the fact that dozens of films, TV, shows, and video games have been made from independent comics over the past 40 years, but it still raises a valid question at the core of the creator experience. Why exactly are you making comics? Do you want to see the characters and stories you created translated into movies, even if you never get paid for it? If that’s the case, then your best bet is to sign a freelance deal with Marvel and make your comics. There is nothing wrong with that goal if that’s what you want to do. Do you want to own the stories you create, even if your characters are never in a billion-dollar movie, or any movie at all? If that’s the case, then you should be looking for a decent creator-owned deal. There’s no shame in that. Do you want to own both the story you made and the company that produces those stories? Then you need to start an independent publishing company and be prepared to put your own time, money, energy, and resources to get the business off the ground, knowing that it may never get off the ground. The core question isn’t should you or shouldn’t you sign over your characters to a publisher. The real question is what do you want to accomplish as a comic creator, and which deal for which book will give you the best chance to get where you want to go.

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If you have a question, comment, criticism, or joke related to The Business of Comics, please leave a comment.

If you are working on a deal for your comic, or if you need ongoing legal support for your comic book business, please contact me for a free consultation.

Have fun.

Gamal

PLEASE NOTE: THIS BLOG POST IS NOT A SUBSTITUTE FOR LEGAL ADVICE. IF YOU HAVE A CONTENT, LICENSING OR INTELLECTUAL PROPERTY ISSUE, DISCUSS IT WITH YOUR LEGAL ADVISOR OR CONTACT C3 FOR A FREE CONSULTATION.

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The Business of Comics for August 7, 2026

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The Business of Comics Blog for July 21st, 2026