Mike Becky

Tag Archive for ‘News Corp.’

News Corp. Shutting Down The Daily ➝

The news business just doesn’t work the same way as it did 40 years ago. These companies need to be smaller and more streamlined if they want to be profitable. The Daily had a failed business model from the get-go and never would have succeeded.

John Gruber nailed it with the following from his piece on why The Daily failed:

They set up an operation with $25 million a year in expenses. But there’s no reason why a daily iPad newspaper needs that sort of budget. A daily iPad newspaper of the scope of The Daily might (but I doubt it), but that simply means the scope of The Daily was ill-conceived. News Corporation went no further than taking the newspaper as we know it — the newspaper as defined by the pre-Internet 20th century — and cramming it into an iPad wrapper. You can’t tell me a good daily iPad newspaper couldn’t be run profitably for $5 million a year.

A smaller company with a different mindset would have been able to produce a fantastic publication for $5 million a year.

News Corp.’s ‘Daily’ iPad Newspaper Delayed ➝

Peter Kafka:

Apple and News Corp. have made a joint decision to push back next week’s planned launch, according to sources familiar with the companies’ plans. The delay is supposed to give Apple time to tweak its new subscription service for publications sold through its iTunes platform.

News Corp and Apple Developing ‘The Daily’ ➝

Edward Helmore reporting Guardian:

Rupert Murdoch, head of the media giant News Corp, and Steve Jobs, the chief executive of Apple, are preparing to unveil a new digital “newspaper” called the Daily at the end of this month, according to reports in the US media.

The Daily would be delivered to an iPad or similar device automatically, similar to Amazon’s newspaper offerings through the Kindle.

Unfortunately, I don’t have any faith that a service like this will succeed. People don’t read newspapers like they used to and giving it to them on an iPad won’t change that. What big newspaper companies like News Corp need to realize is that big newspaper companies aren’t going to be a viable business in the not-to-distant future. The only way I can see these companies succeeding is to spend more money on writing content and less time trying to sell ads. If you have good content you’ll get more visitors and advertising money will follow.

What everyone (especially those in the newspaper industry) want to ignore is that the product isn’t good anymore. It’s rare to find a well written newspaper article and even harder to find a well written, heavily researched newspaper article. I may be looking in all the wrong places but they all just seem very cookie-cutter, no personality and no specialty. It’s almost as if the same people who write about the tech industry also write about cooking.

I could be wrong. And if so, I’m prepared to eat my words. But, I don’t think that the Daily will be the newspaper industries saving grace. That is, unless users are able to choose what types of content they’re interested in and only receive articles in those categories. And, it wouldn’t hurt to put some top-notch writers behind this as well.

In a nutshell, I’m worried that the Daily is being conceived and developed as a means of displaying advertising rather than displaying well written news.

iTunes Monthly TV Subscriptions Coming ➝

The Wall Street Journal reports that Apple has been moving forward with their plan to offer monthly television subscriptions through iTunes. Peter Kafka of All Things Digital first wrote about such a service back in November.

The service would give subscribers access to some TV shows from a selection of networks for a monthly fee. The Wall Street Journal is unaware as to whether or not any networks have signed on, but CBS and Disney are said to be interested in the service. Apple could have a hard time convincing other networks to sign on. Some versions of the deal would see Apple paying media companies $2-4 a month per subscriber to larger networks like CBS or ABC and $1-2 a month per subscriber to smaller networks. The Wall Street Journal says that even with those prices (which are often higher than what cable companies pay), News Corp., Viacom, Discovery, and Turner Broadcasting are “opposed to or leaning away from signing on, at least to Apple’s initial proposals.”

Early versions of the offer included access to advertising-free shows from top cable and broadcast networks for $30 a month. This echoes Peter Kafka’s report from November and, in my opinion, is an incredibly reasonable price (assuming users had access to a decent assortment of television shows).

Aside from the above offer there isn’t any indication as to whether or not this service would include advertising. I’m inclined to say that it wouldn’t but I’m not sure if Apple would be able to convince networks to sign on without it.

$30 Per Month for iTunes TV Shows