Traditional Western Media Still Struggling
The performance of two stallwarts of traditional Western media shows us all the historic difficulties this industry is struggling with.
In the US, after an elaborate restructuring scheme, Newsweek magazine, one of American journalism's flag ships, seems to be enthralled in a downward spiral that has cost it $28.1 million in 2009, the year the reform started.
Newsweek had tried a new approach that would have followed a similar editorial path to that of The Economist magazine, so far to no avail, regardless of efforts by Newsweek's top brass to paint a brighter picture.
New York Post:
On the other hand, the BBC, perhaps the most emblematic symbol of Western free media, has signaled "the end to an era of expansion," as the Times of London calls it.
The revered news organization has announced that it will close two radio stations and cut its Internet operations by half. Also, the BBC will significantly reduce its purchase of American-made programming.
These are clearly the most transformational times for Western media in a century. We just hope this is the case only for the business model of it, not for its philosophical approach.
A free and independent media is a Western democracy creation that has helped power the advance of democracy the world over. The survival of this concept is critical.
In the US, after an elaborate restructuring scheme, Newsweek magazine, one of American journalism's flag ships, seems to be enthralled in a downward spiral that has cost it $28.1 million in 2009, the year the reform started.
Newsweek had tried a new approach that would have followed a similar editorial path to that of The Economist magazine, so far to no avail, regardless of efforts by Newsweek's top brass to paint a brighter picture.
New York Post:
"The fourth quarter was actually our best quarter of the year as we repositioned to a more upscale, news-hungry audience," he said. "We expect to have significantly smaller losses in 2010 than in 2009 and we still expect to be back to break-even in 2011."
The full year included a one-time early retirement charge of $6.6 million for 44 Newsweek employees.
Since Newsweek lowered its circulation -- from 2.6 million to 1.5 million -- it was forced to make corresponding cuts in its ad rates. The company hopes that lower production, distribution and employee costs will eventually enable it to return to profitability.
The full year included a one-time early retirement charge of $6.6 million for 44 Newsweek employees.
Since Newsweek lowered its circulation -- from 2.6 million to 1.5 million -- it was forced to make corresponding cuts in its ad rates. The company hopes that lower production, distribution and employee costs will eventually enable it to return to profitability.
On the other hand, the BBC, perhaps the most emblematic symbol of Western free media, has signaled "the end to an era of expansion," as the Times of London calls it.
The revered news organization has announced that it will close two radio stations and cut its Internet operations by half. Also, the BBC will significantly reduce its purchase of American-made programming.
Mark Thompson, the Director-General, will admit that the corporation, which is funded by the £3.6 billion annual licence fee, has become too large and must shrink to give its commercial rivals room to operate.
In a wideranging strategic review, he will announce the closure of the digital radio stations 6 Music and Asian Network and introduce a cap on spending on broadcast rights for sports events of 8.5 per cent of the licence fee, or about £300 million.
In a wideranging strategic review, he will announce the closure of the digital radio stations 6 Music and Asian Network and introduce a cap on spending on broadcast rights for sports events of 8.5 per cent of the licence fee, or about £300 million.
These are clearly the most transformational times for Western media in a century. We just hope this is the case only for the business model of it, not for its philosophical approach.
A free and independent media is a Western democracy creation that has helped power the advance of democracy the world over. The survival of this concept is critical.
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