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Murdoch's strategy isn't to profit off online news at all - it's to cultivate an industry-wide strategy that makes online news completely unprofitable. If peopl

Murdoch's strategy isn't to profit off online news at all - it's to cultivate an industry-wide strategy that makes online news completely unprofitable. If people are forced to pay for online news, they're more likely to switch back to print. The problem with this strategy is, of course, that while News Corporation can certainly strongarm lesser corps into following their actions lock-step, it's notoriously harder to convince a ragtag band of hacker journalists with a wifi card, laptop and camcorder as their biggest overheads to follow suite - they've less to lose, and less for Murdoch to threaten. And even if you do, there's a few thousand others you have to coerce as well. Murdoch's playing a rigged game of whac-a-mole.

netsp 17y ago
Put another way, he's leaving a gap that can be filled with very little overhead. What happens if big news corps refuse to be online? Someone else will be online. The latter will be read. I'm not going back to print. Rupert be damned.
rms 17y ago
>If people are forced to pay for online news, they're more likely to switch back to print. You have a great point there. Rupert Murdoch has a true love for the printed newspaper.
timr 17y ago
"The problem with this strategy is, of course, that while News Corporation can certainly strongarm lesser corps into following their actions lock-step, it's notoriously harder to convince a ragtag band of hacker journalists with a wifi card, laptop and camcorder as their biggest overheads to follow suite - they've less to lose, and less for Murdoch to threaten." The "rag-tag band of hacker journalists" is a silly bit of romanticized fiction. Even if a few "rag-tag" journalists exist, and even if they manage to produce hard news in some semi-legitimate form, they've got to feed their families, too. Real reporters have full-time jobs. They can't do it for free. One of my biggest pet peeves with the technology industry is that highly paid programmers -- intellectual property professionals! -- act as though content is just some sort of data stream that springs fully formed from the earth's core. They seem to believe that they're entitled free access to this content, and that the "dinosaur" industry of "old media" is doomed to failure because of the overwhelming success of their brilliant new business insights (namely: people like getting stuff for free). In order to believe this myth, however, you need to completely disregard the fact that the rotting corpse of the "old media" is the fuel that keeps the new media going. Someday soon we're going to reach the end-game: ad-blocking will become ubiquitous in browsers, and this long, strange nightmare of "free" content and "zero marginal costs" will have to yield to the simple reality that content costs money to produce. We've got to stop investing in the childish notion that we can all become bazillionaires by aggregating other people's hard work with a comment thread.
- camccann 17y ago
  Someday soon we're going to reach the end-game: ad-blocking will become ubiquitous in browsers, and this long, strange nightmare of "free" content and "zero marginal costs" will have to yield to the simple reality that content costs money to produce. Which doesn't actually address the problem of getting any significant number of people to willingly pay for it. It's entirely possible that the end game will not be "oh well, time to pay for content again", but rather "remember the good old days, when content actually existed?"
  - JCThoughtscream 17y ago
    Both of your views are, in my opinion, far too pessimistic, and not representative of the reality of the developing industry. The fact is that there is content being generated online - and while the prevalence of linkblogs and content aggregates get all the, ahem, press, I suspect that they're not close to being a majority, or even all that significant a minority, of the various efforts currently made to evolve the business facet of news to fit the new digital paradigm. As for the aforementioned ragtag band of hacker journalists needing to feed themselves at the end of the day, hell - even print media took decades, if not centuries, to settle on what is now a static and matured advertising structure and method. Do you really think a whole generation of newsfolks that've grown up completely immersed in the frenetically paced digital world /won't/ figure out a way to carve a profitable niche from it all? The fact is that the factors that've kept newspapers relevant even as radio and televised news quickly outstripped them in influence and coverage don't hold up so well in the face of online news. Not when online news offers the exact same content for cheaper overhead for producers, advertisers /and/ audiences, and without the physical constraints of the standard tabloid sheet, quality of print, incompatibility with other media, or the untimeliness of once-daily release. It shouldn't at all come as a surprise that there'll be a few enterprising minds that'll seek to take advantage of these blatant advantages and exploit them for personal gain. If you can trust people for anything, it's in finding a way to profit. And I fully trust my generation of journalists and editors to find a way. As ideological as it makes me sound, Capitalism really did get that bit right.
    - 17y ago

netsp 17y ago

Put another way, he's leaving a gap that can be filled with very little overhead. What happens if big news corps refuse to be online? Someone else will be online. The latter will be read. I'm not going back to print. Rupert be damned.

rms 17y ago

>If people are forced to pay for online news, they're more likely to switch back to print. You have a great point there. Rupert Murdoch has a true love for the printed newspaper.

timr 17y ago

"The problem with this strategy is, of course, that while News Corporation can certainly strongarm lesser corps into following their actions lock-step, it's notoriously harder to convince a ragtag band of hacker journalists with a wifi card, laptop and camcorder as their biggest overheads to follow suite - they've less to lose, and less for Murdoch to threaten." The "rag-tag band of hacker journalists" is a silly bit of romanticized fiction. Even if a few "rag-tag" journalists exist, and even if they manage to produce hard news in some semi-legitimate form, they've got to feed their families, too. Real reporters have full-time jobs. They can't do it for free. One of my biggest pet peeves with the technology industry is that highly paid programmers -- intellectual property professionals! -- act as though content is just some sort of data stream that springs fully formed from the earth's core. They seem to believe that they're entitled free access to this content, and that the "dinosaur" industry of "old media" is doomed to failure because of the overwhelming success of their brilliant new business insights (namely: people like getting stuff for free). In order to believe this myth, however, you need to completely disregard the fact that the rotting corpse of the "old media" is the fuel that keeps the new media going. Someday soon we're going to reach the end-game: ad-blocking will become ubiquitous in browsers, and this long, strange nightmare of "free" content and "zero marginal costs" will have to yield to the simple reality that content costs money to produce. We've got to stop investing in the childish notion that we can all become bazillionaires by aggregating other people's hard work with a comment thread.

camccann 17y ago
Someday soon we're going to reach the end-game: ad-blocking will become ubiquitous in browsers, and this long, strange nightmare of "free" content and "zero marginal costs" will have to yield to the simple reality that content costs money to produce. Which doesn't actually address the problem of getting any significant number of people to willingly pay for it. It's entirely possible that the end game will not be "oh well, time to pay for content again", but rather "remember the good old days, when content actually existed?"
- JCThoughtscream 17y ago
  Both of your views are, in my opinion, far too pessimistic, and not representative of the reality of the developing industry. The fact is that there is content being generated online - and while the prevalence of linkblogs and content aggregates get all the, ahem, press, I suspect that they're not close to being a majority, or even all that significant a minority, of the various efforts currently made to evolve the business facet of news to fit the new digital paradigm. As for the aforementioned ragtag band of hacker journalists needing to feed themselves at the end of the day, hell - even print media took decades, if not centuries, to settle on what is now a static and matured advertising structure and method. Do you really think a whole generation of newsfolks that've grown up completely immersed in the frenetically paced digital world /won't/ figure out a way to carve a profitable niche from it all? The fact is that the factors that've kept newspapers relevant even as radio and televised news quickly outstripped them in influence and coverage don't hold up so well in the face of online news. Not when online news offers the exact same content for cheaper overhead for producers, advertisers /and/ audiences, and without the physical constraints of the standard tabloid sheet, quality of print, incompatibility with other media, or the untimeliness of once-daily release. It shouldn't at all come as a surprise that there'll be a few enterprising minds that'll seek to take advantage of these blatant advantages and exploit them for personal gain. If you can trust people for anything, it's in finding a way to profit. And I fully trust my generation of journalists and editors to find a way. As ideological as it makes me sound, Capitalism really did get that bit right.
  - 17y ago