From the Times today: “Why would I put anything on the Web?” asked Dan Jacobson, the publisher and owner of the newspaper. “I don’t understand how putting content on the Web would do anything but help destroy our paper. Why should we give our readers any incentive whatsoever to not look at our content along with our advertisements, a large number of which are beautiful and cheap full-page ads?” Other publications much larger than TriCityNews have been wondering about pumping resources into a medium that does not seem to show a promise of returns any time soon. And there are signs that the free ride for consumers may be coming to an end. I started getting notices to renew my subscription to The Wall Street Journal and its Web site and waited, as I have in the past, for the deeply discounted offer. It never came. And according to company statements in October, paid subscriptions for The Journal’s Web site were up more than 7 percent from a year ago.
Jack Delano, 'Chicago and North Western Railway Company working on a locomotive at the 40th Street railroad shops', Chicago, Ill., 1942. From the Library of Congress archive.From the Dec 22 issue of the New Yorker. The peculiar fact about the current crisis is that even as big papers have become less profitable they’ve arguably become more popular. The blogosphere, much of which piggybacks on traditional journalism’s content, has magnified the reach of newspapers, and although papers now face far more scrutiny, this is a kind of backhanded compliment to their continued relevance.
Usually, when an industry runs into the kind of trouble that Levitt was talking about, it’s because people are abandoning its products. But people don’t use the Times less than they did a decade ago. They use it more. The difference is that today they don’t have to pay for it. The real problem for newspapers, in other words, isn’t the Internet; it’s us. We want access to everything, we want it now, and we want it for free. That’s a consumer’s dream, but eventually it’s going to collide with reality: if newspapers’ profits vanish, so will their product.
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