Wednesday, December 17, 2008
And While Some Starve ...
In the upside down, inside-out world of journalism, poynter.org tells us: "Journal Communications [the Milwaukee Journal Sentinel] disclosed last Friday that it's paying its former CFO $8,334 a month for up to 20 hours a month of consulting." So far so good. But get this: "It was reported today that the company, which eliminated 130 jobs in August, got rid of 39 more employees this month."
Meanwhile, reporter Jack Shafer, writing in Slate, offers up some theories about why print and electronic news organizations are so financially troubled these days and presents his theory: digital technology. He tells us that "the growth of Web advertising in its first 13 years eclipses that of both broadcast TV and cable TV in their first 13" He says that before the current recession, which has exacerbated the decline, "online advertising—a purely digital play—grew faster than advertising on any other new media technology ever recorded. Last year, Web-advertising revenues passed radio-advertising revenues for the first time."
He says newspapers still make money, "but nobody believes that newspapers will regain their lost ground after the recession recedes."