Posts Tagged ‘ap’

News’ Forbidden City

Friday, October 9th, 2009

I found this Associated Press story this morning because of a tweet and then I retweeted adding value along the way, a one-word reason to read it: “Fools.” Many retweets ensued leading to many more readers.

Welcome to the future of content distribution, the new newsstand, if you ask me. Welcome to a den of thieves, if you ask the subjects of the story, Associated Press CEO Tom Curley and News Corp. oligarch Rupert Murdoch.

They stood near Tiananmen Square – as Alan Mairson retweeted, “Nice touch: They made announcement in Great Hall of the People, shrine to Central Control” – arguing once again that people who aggregate, curate, link to, talk about their stories are stealing their value.

“Crowd-sourcing Web services such as Wikipedia, YouTube and Facebook have become preferred customer destinations for breaking news, displacing Web sites of traditional news publishers,” Curley said. “We content creators must quickly and decisively act to take back control of our content.”

He said content aggregators, such as search engines and bloggers, were also directing audiences and revenue away from content creators. . . .

Murdoch also told the opening session of the World Media Summit in Beijing’s Great Hall of the People that content providers would be demanding to be paid.

“The aggregators and plagiarists will soon have to pay a price for the co-opting of our content. But if we do not take advantage of the current movement toward paid content, it will be the content creators — the people in this hall — who will pay the ultimate price and the content kleptomaniacs who triumph,” the News Corp. chief executive said.

I rolled my eyes and hardly for the first time at their dangerous ignorance of the new realities of the next economy – at this suicidal attempt to protect outmoded models and fight the future – and tweeted my comment and thought that was it. But then I got a call from the AP reporter in Beijing who wrote this story, Alexa Olesen, and pulled off the road on my way to work to talk with her. I said exactly what you’d expect me to say, arguing against their arguments.

I presented an alternative future that is being built today, the future we see in the New Business Models for News Project with new efficiencies, specialization, targeting, value that comes with the collaboration that the internet and its links enable, with an ecosystem of many smaller but once-again profitable entities providing news we have reason to hope will be better. I got angry at the irresponsible stewardship over journalism that has been exercised by the Politburo of the Press meeting in Beijing, the people who did but no longer control the press and squandered the last 15 years. I said I was angry because they are the ones killing newspapers, not the internet.

Olesen asked whether I agreed with other talk in Beijing that it’s important for news to be on many platforms. Yes, I said, but that drive is about a decade late. Then I said I was being unfair; there is good work going on and I pointed to three or four things The New York Times is doing by example. But I then said the media world is moving to a next step, after sites and pages to streams.

And then I used this story as an example. I discovered the story through a tweet. I spread the story through a tweet. Others spread the story through their tweets. I’m spreading it again here. We are not kleptomaniacs. We are the new (free) distribution. We are providing value to news. I explained that Google News causes a billion clicks a month and Twitter causes more (Bit.ly alone causes a billion). But the comrades in Beijing can’t see that because they are ignorant of the imperatives of the link economy.

Among the many ironies in this tale is that Curley presages his own defeat. If he and Murdoch and the Central Committee put up walls and guards or unbelievably delays the news (as the AP is considering), we will go to the sites he cites – Wikipedia et al – and create better news with or without them. The way they are talking in Beijing, I fear it will be without them sooner than later.

: Later: Olesen also said that she wasn’t hearing what I was saying in Beijing. And they call us in blogs an echo chamber, I replied.

Except one might have heard these things some years ago … from Messrs. Curley and Murdoch themselves. Kevin Anderson does a wonderful job making them eat their earlier words, a dish of Peking crow.

: The Brisbane Times Sydney Morning Herald says the summit in Beijing really is run by a media politburo.

The summit has a secretariat based at Xinhua’s Beijing headquarters and is chaired by Xinhua’s president, Li Congjun, previously vice-minister for propaganda. Co-chairmen include Mr Murdoch, Mr Curley and leaders from the BBC, the Japanese news service Kyodo, Russia’s official news agency, ITAR-TASS, and Google.

Big issues are decided through ”collective consultation” with the world media organisations that comprise the secretariat.

”This is beginning to look familiar, don’t you think?” wrote David Bandurski, from the University of Hong Kong’s China media project. ”A self-appointed group of elites making decisions through consultation among themselves … The World Media Summit has a politburo.”

The irony is just too obvious. At the summit, Chinese leaders tell media leaders to create just ”’true, correct, comprehensive and objective’ news coverage.” As we say online: Heh.

Isn’t a game content, too?

Monday, August 24th, 2009

The Associated Press is refusing to sign for credentials under the conditions put on control of game coverage by the SEC. OK, I think what the SEC is doing is silly, too, especially now that every damned fan in the stands can tell the world what’s happening in a game via blogs, Twitter, Flickr, YouTube, and whatever comes next.

But isn’t the AP being a tad hypocritical?

Isn’t a game content and isn’t the SEC trying to assert control over that content the way the AP is threatening to assert control over news? What’s the difference between a score or a play – the very definition of hot news, no? – and a fact coming out of a press conference or news event? It’s all just information and information, once known, is a commodity that is best distributed now via the conversation. Neither institution can stop anyone with an ear from saying, “Did you hear?” And if they were smart, but they’re not, they’d figure out how to take advantage of that free marketing.

How (and why) to replace the AP

Friday, July 24th, 2009

The Associated Press is becoming the enemy of the internet because it is fighting the link and the link is the basis of the internet. From Richard Perez-Pena’s New York Times story today:

Tom Curley, The A.P.’s president and chief executive, said the company’s position was that even minimal use of a news article online required a licensing agreement with the news organization that produced it. In an interview, he specifically cited references that include a headline and a link to an article, a standard practice of search engines like Google, Bing and Yahoo, news aggregators and blogs.

Them’s fightin’ words: quoting an article’s headline while linking to it would require licensing? This means we would have to get permission from and negotiate with sites before linking to them. That would kill the internet. It also would kill the Associated Press and the news organizations it cons into joining its dangerous crusade – make that its cartel – for no one will link to them and they will not be heard.

There has been much stupidity lately about how news should operate in the ecosystem in the internet – threats to try to extend copyright, the ominously named and ambiguously written Hamburg Declaration, the ACAP “standard” that would be a boon to spammers – but the AP’s shot across our bow is the most destructive and ignorant of them all. The AP doggedly refuses to understand the link economy of the digital age and its imperatives.

The AP would rather destroy the link economy. Oh, it probably won’t succeed, just because what it suggests is so impractical and illegal and ultimately undemocratic and unconstitutional. But like a bull in a knowledgeshop, it could do a lot of damage along the way, trying to rewrite the fair use that is the basis of the democratic conversation and rushing its members to even earlier graves by hiding their content from the readers it is meant to serve. Note well that most news organizations depend upon fair use every day when they quote somebody else’s story or comment on somebody else’s content. The AP is dangerous.

But that’s not the reason to replace it (it’s merely a bonus). No, the reason to replace the AP is because is that it is hopelessly, mortally outmoded for the digital age and its ownership structure – I blame its board of newspaper owners more than I blame its management – won’t let it be transformed for our new reality. We need a replacement that will better serve journalism and the public, not to mention the democracy.

The AP’s primary job is to distribute content. In a content economy, that worked well. In the link economy, what the AP does is a disservice to content because it cuts the links to the source by rewriting news. The AP also translates content from one medium to another, rewriting newspaper stories so they can be read on radio or TV; that, too, cuts the link to the source (and note that rip-and-read has been the worse enemy of original reporting since the invention of broadcast, long before the internet). And the AP adds some original reporting to the ecosystem but it can’t monetize that value in the link economy because to do so would compete with its owner/clients.

What we need is an infrastructure for a content marketplace online that rewards the creators of original reporting – not the copiers or the commodifiers (that is, the AP) – by exploiting the essential nature of how the internet operates, that is, the link.

I’ve called one fundamental example of this structure reverse syndication – and Politico has started implementing it. Look at it this way: In the old days – in the AP’s ways – Politico would have syndicated its story to other papers, which would have sold ads to earn the money to pay Politico. Now, of course, Politico’s story is just a link and a click away. So now another paper – say, the Chicago Tribune – can just link to Politico’s story. That rewards Politico for creating the story. But what about also rewarding the Tribune for adding value through the link, sending audience to Politico? It would be in Politico’s interest to pay the Tribune a share of its ad revenue for the article to encourage it to send more traffic and add more value. That is the missing piece.

Now imagine this Politico story sits out there on the internet with an ad on it and it is sharing that revenue with the Tribune proportional to the traffic the Tribune brings. Politico could sell that ad. But if the Tribune could get higher value, then it should sell the ad and share the revenue with Politico. Or a third party – oh, I dunno, Google – could sell the ad and share revenue with both. Whatever makes more money – that’s the question we should be asking; that’s what’s going to save the news business.

At the CUNY New Business Models for News Project, we are modeling the news ecosystem that we believe will emerge when a metro paper fades away. For our next project – when funded – I’d like to tackle this content marketplace infrastructure to look at what is needed: systems to track and pay and conventions to label content and draw audience to – and thus support – journalism at its source. With or without an AP, we need to improve the means by which original reporting is found and supported.

Another project I’d like to tackle is The New York Times’ favorite subject: how to support a Baghdad bureau in this new ecosystem. I don’t know that I have the answer or that there is one. Global Post is one try. There may be a need for support from charitable sources (the subject of my Monday Guardian column, which I’ll link to later). The AP and large, ambitious news organizations like The Times report from places where others can’t afford to go; we need to look at how to continue to do this.

That leaves the AP’s other role: translating content among media. Well, there’s an entrepreneurial opportunity. On Twitter, Reuters’ Chris Ahearn volunteered to step in. And online, there’s really no need to do that anymore; it takes all media.

Could the AP remake itself? Doubtful. Its owners won’t let it be run as a rational business – redefining rational for the link economy. It also isn’t structured to help its members remake themselves. I told the AP a decade ago, when I was still working for a client, that I wished it would start a national ad network for news sites, to help them succeed. But that’s just not the way they think.

I’ve also speculated with folks with money about buying the AP and remaking it for the digital age, without the handcuffs of its ownership structure. But every time, we come back to the gigantic wind-down costs that would entail, getting rid of parts of the operation that aren’t needed anymore. And that’s the problem: much of it isn’t needed anymore. Just ask the many newspapers that are canceling the service along with their $1-million-a-year bills. (See the Star-Ledger that was produced with a single AP pixel.)

So I think there are entrepreneurial opportunities to replace the AP and bring far greater benefit to content creators online – all content creators, not just the old news oligopoly. It’s time to break out the hammers.

(Disclosures: I am a partner at Daylife, a news aggregator. I was an advisor to Publish2, which also traffics in links. I was on the board of Moreover, which aggregates and creates feeds of headlines and links. I did all that because I see the potential of the link economy, by the way. I also wrote a book about Google – have I told you about that? – and have discussed many of these ideas with people there.)

: MORE: Note that the New York Times Company’s chief counsel does not think aggregation is a copyright issue.

: Note, too, that the “problem” of copyright violation is misdefined (a headline and a link is clearly not theft), and overstated (show me the millions of sites- other than spam blogs – that are copying whole articles), and wrongheaded in the idea that there’s a pot of gold here that will save the news business. It’s a big red herring. It’s a diversion from the real issue: the failure of the news industry to transform itself for the new economy. I guarantee you that if the AP goes ahead with this, it will pay lawyers more than it could ever earn. And it will hurt the industry and its brand in the process.

: Here’s a quick Marketplace story on the AP.

: TechDirt has some advice for Reuters: Go for it.

Distributing investigations

Saturday, June 13th, 2009

I’m delighted that the Associated Press is going to distribute the reporting of four nonprofit investigative news organizations: the Center for Public Integrity, the Investigative Reporting Workshop at American University, the Center for Investigative Reporting, and ProPublica. That will get their work seen in many more print outlets. Print.

Except — and I hate to have another exception with the AP — online that isn’t necessarily the best service to the work. In a search-driven ecology, the better thing to do is to send all traffic to the reporting at its source so that can rise in search. It also means that as stories are updated, readers can get the latest. And it gives these centers the opportunity to raise money with readers who care about their work. So I hope that the papers that print these stories online also link to the source.

Link to the best

Saturday, May 30th, 2009

After we had breakfast a week ago and talked about possible new roles for wire services in the new world, Wolfgang Büchner, who’s soon to take the top edit position at the Deutsche Presse Agentur (the German Associated Press), send me a link to this example of the agency curating and pointing to journalism at its source, which should surely be its most important job in the link economy.

Google: Drop the AP first

Monday, May 4th, 2009

Forbes quotes AP head Tom Curley sabre-rattling in negotiations with Google: “Curley warned that if Google doesn’t strike the right deal with the AP soon, ‘They will not get our copy going forward.’” This is more than mere negotiation. The AP has been making noise about trying to force Google to favor it and its members in the search engine’s algorithms.

Forbes explains:

The AP, a 163-year-old cooperative owned by news organizations, won’t discuss its talks with Google, but plans to create landing pages and Web-based “news maps” directing users to original AP stories (and away from secondary sources who post material “borrowed” from the AP). To do this, the AP needs Google’s help. Most likely that means Google creating search protocols similar to those created from the licensing deal the AP inked with Google in 2006.

Since that deal was struck, Google has paid the AP undisclosed fees to carry AP content on the Google News section of the site. Search rankings on Google News give priority to recognizable news brands like the AP. But Google applies no such algorithmic discretion to general searches. The broader search rankings spread AP content out across the Web, says Curley, encouraging misappropriation by other sites. Curley wants Google to “protect content from unauthorized use and pay us for the longtail.” By “longtail,” Curley refers to the thousands of small sites that collectively drive vast herds of traffic using AP content.

THe AP is trying to play victim here, saying that Google is pointing to sites that steal its content. Name two. When I search for news, I can’t remember being taken to a thief. I’m often taken to the AP, which rewrites news and cuts the links to original journalism and thus cuts off the value of links. But not reputed thieves.

Now, apparently, the AP wants to start to rectify its role in the link economy by creating these news maps. OK, I’ll agree that there must be more linking directly to journalism at its source. But I don’t know why Google needs the AP to do that. It could improve its algorithms not to favor certain brands but to favor original reporting wherever it occurs, at the AP, at newspapers, or at blogs.

So it’s in the sense that I’ll suggest Google should cancel the AP contract first – not as retribution but as a service to journalism. Now GoogleNews runs full AP stories it licenses from the wire service, taking traffic away from AP members’ sites and pointing to rewrites of reporting rather than original reporting. If what we want is an ethic of linking to original journalism, then Google should consider no longer presenting full AP stories and, for that matter, linking to AP rewrites. That would serve original reporting. But we have to wonder whether serving journalism or the AP is the AP’s real strategy in these negotiations.

Danny Sullivan links us to an explanation of the AP’s tactics at AllThingsD earlier this month:

This has been construed in some quarters as a plan to create a search engine or news portal. But it’s really just an attempt to upgrade the AP’s search engine optimization strategy — that is, trying to get its stuff to show up higher on Google’s (GOOG) search results. It will do that via “search pages,” or “topic pages,” which are par for the course in the Web world….

If the search page plan works, the pages will be generating plenty of page views when people land on them, and it’s possible that the AP will sell ads on that inventory, Kennedy says. But their real function is to shuttle searchers to the original source material from the AP’s members.

So Google could cut out the middleman – the AP – and just link to the original journalism itself. But being bullied into linking to the AP and its members is not the way to go.

Sullivan explains:

Google’s web search quality team — which has nothing to do with Google’s business folks — generally does not take well to people suggesting they’re somehow going to own the search results. AP content probably will start ranking well for some things, but if it started showing up Wikipedia-style for everything, people outside the AP would start complaining about favoritism.

That’s what makes the Forbes piece so puzzling. AP chief executive Tom Curley (who the AP told me was “unavailable” to talk; nor after nearly two hours, does anyone else seem available) sounds naive enough to believe he can force Google into a deal that would give AP preferential treatment in regular search results….

Google News doesn’t give “recognizable news brands” a boost. I’ve never seen them say this, nor have I seen it actually happen in real life. Google News includes large and small news sites and lists a diverse collection of stories. I know lesser-known news sites do well because I run one of those. At times, I can have a headline story that beats the AP or other mainstream outlets in Google News….

Certainly if Google starts ranking brands better than other content, they’ll have issues. Brands do not equal trust. Enron had a brand; AIG has a brand — being a brand doesn’t mean that you are more trustworthy or deserve an automatic ranking boost. From my perspective, Google’s algorithm has continued to change over the past few years to reward trusted sites. Many brands have sites that Google has decided are trustworthy, but some don’t.

Curley is foolish if he thinks he’ll browbeat Google into somehow changing its algorithm in web search to reward AP as part of this deal. Google’s search quality engineers wouldn’t stand for that, any more than a journalist would stand for a newspaper CEO marching into a newsroom and demanding that certain advertisers get favorable stories written about them.

There’s the irony: Journalists would never stand for what the AP is allegedly trying to do on behalf of journalism. If an editor walked into a newsroom and told reporters: ‘I want you all to quote only big-company and government officials from this approved list and stop quoting little people,’ there’d be a proper revolt. Google’s engineers will protect the authority of their algorithm just as self-respecting journalists would protect their own independence and reputation.

So, Google: Resist the bullying and blackmail. Drop the AP. Perfect ways to link to and thus support journalism at its source. That is the better service to the public and news.

(Full disclosure: I’m a partner at another aggregator, Daylife. As I’ve blogged before, I’ve discussed both there and at GoogleNews the need to link to and thus support journalism at its source, wherever it occurs.)

: LATER: In the comments, Paul Colford of the AP corrects me:

AP sells only a selection of its staff-generated international and national news stories to Google and other commercial customers. A very small slice of this — less than 2 percent of the mix — comes from member newspapers, typically scoops that are credited to the papers.

Stories from member newspapers make up a much larger piece of AP’s state wires — but the state wires are not available to Google and others outside the AP membership.

I stand corrected. But then I would also say that the AP now has an unfair advantage over its members by selling its content to Google to distribute in full. Google does this only for wire services, not for anyone else. And I don’t want it to do this for others, because someone will get left out of the mix. So I still think Google should link instead, and link directly to original journalism.

The newswire of the future

Tuesday, April 14th, 2009

Jackie Hai has a nice way to describe what follows the AP (my emphasis):

The AP syndication model works in an economy of information scarcity, whereas the web represents an economy of abundance.

Second, what the AP has failed to grasp is that the evolution of the participatory web has blurred the line between content producers, distributors and consumers to the point where everybody can be any and all of the three. The news wire of the future will not be centralized and top-down, but rather distributed and bottom-up.

1. Solve journalism’s data problem. 2. Kill the AP. 3. Invest in the next market.

Wednesday, April 8th, 2009

First, a constructive proposal: News organizations need to band together — not to cut off their content, along with theirs noses, or to collude in antitrust cabals — but simply to set a new metadata standard identifying original reporting. If every news story carried a switch identifying original reporting, then aggregators like GoogleNews and Daylife (where I’m a partner) could give precedence to and link to that journalism at its source, helping support that reporting in the link economy.

The problem today is that aggregators favor freshness, but the latest story in a topical cluster is often the 87th rewrite of the news and it’s usually from the Associated Press, which cuts off links and credit to the original journalism (for all its bluster, the AP is actually the biggest problem newspapers have online, but more on that in a minute).

Now I know that a flag that says “give my story better play” is ripe for gaming. But the news aggregators work with limited if large pools of sources (in the low thousands). In such a small universe, bad behavior can be monitored and punished (by the aggregators, readers, and competitors). So with this method, the Washington Post’s Walter Reed stories would get precedence over others’ rewrites.

In the structure of the link economy, it’s then up to the Post to monetize that audience. This could be aided, though, by a marketplace that supports reverse syndication, which would send traffic to original journalism and even share revenue with those who send links to it.

If the AP really wanted to help support original journalism, it would build that marketplace – and it would stop rewriting, homogenizing, and anonymizing all its members’ news. Or when it does, it should provide credit and links to the sources, a moral necessity in the link economy; I urged the AP to adopt such a link ethic last year.

Instead, the AP is, incredibly, looking to start a news portal. A damned portal. Sherman, who set the Wayback Machine to 1998? Fix it, willya? Are they kidding? No. Doug MacMillan reports in BusinessWeek today AP head Tom Curley “plans to create ‘landing pages’ that would host articles from any news sources that allow their headlines on the site.” So the AP – hardly a household brand – would try to change readers’ habits and market to get them to come to a newspaper portal? Ghosts of the New Century Network, the newspaper Keystone Konsortium that died in 1998. Damnit, Sherman, hurry.

Rather than competing with the entire internet, which is what the AP is trying to do (or, as Kara Swisher says scolding AP chairman and foundering newspaper mogul Dean Singleton, “stop the internet from being the internet”), wouldn’t it make sense to improve the standing of newspapers’ original work throughout the fabric of the internet? That’s why I’m suggesting the original-reporting metadata standard above. (And by the way, even if such a standard isn’t adopted, the chief scientist at Daylife and I have discussed ways to suss out original work and give is priority; that’s second choice.) (Alslo by the way, such a standards could be expanded to create feeds of updates and corrections.)

But the AP is not going to do that because, as newspapers are slowly learning, the AP is their enemy. Not the internet. Not Google. It’s the AP that has to insist on going against the flow – the damned tsunami – of the internet because it lives by homogenizing and it can’t monetize the link economy. So the AP tries to make Google and aggregators – and the the internet, for that matter – the enemy. It’s a matter of survival.

Though Paul Farhi and I disagreed about what to do about it, we agree that the AP is a problem. And though Saul Hansell gets me wrong in his rather twisty path to his conclusion yesterday (I’m not saying newspaeprs as they exist would thrive if they’d wised up a decade ago; I’m saying they’d be unrecognizab ly reinvented), we agree in the end: Shut down the AP. Says Mr. Hansell:

The only conclusion here is that the very existence of The A.P. is the greatest contributor to the scourge of free news. And so, by the logic of the newspaper industry, Mr. Singleton has only one choice: To fight the problem at its source and shut down the A.P. for good. That makes at least as much sense as the current campaign against windmills, aggregators and search engines.

Papers are canceling their contracts because it is too expensive. Journalists doing original reporting everywhere should resent the AP for turning all the knowledge they create into commodity news — and selling it with no benefit to them in the form of payment, credit, or links. The AP is built for the content economy and is incapable of shifting to support its members or compete in the link economy.

I would cut up the AP into its constituent parts: Spin off the journalists who do original reporting and make this core into another news source to compete on the open market, in internet economics, building a brand and selling ads and going up against Reuters, The Times, and other national and international sources. Then kill the Borden’s Dairy that homogenizes news, milking it (sorry) of its value. The AP is an antimarket player and once it’s taken out, a new market can grow to support journalism.

Newspapers and others who create original journalism can then create a marketplace where they share links and value. They or a new company – or Google – can help them by selling ads on all that content. This will encourage them – economically and ethically – to link to each other (as quality papers are doing) and then to distribute their content into the web (as the Guardian, NY Times, BBC, and NPR are doing with their APIs). Others that run news – Yahoo, et al – will then have a marketplace to get news from the best sources (not the poor imitator, the AP) and in a reverse syndication model, they both benefit.

The problem is that the AP simply does not fit in the internet economy. So it is trying perversely to mold the future to its model and portray itself as Don Quixote tilting against the content mills when it is the worst mill itself. Sorry, AP, but you’re the problem.

: LATER: A suggestion for using the REL tag.

: LATER STILL: Arianna makes reference to the link economy on Charlie Rose.

Aim the gun the right way

Thursday, April 2nd, 2009

The last time Paul Farhi and I disagreed, it was about who’s to blame for the fall of newspapers (he found journalists blameless; I didn’t). We disagree about the same topic again. This time, he’s arguing – in an incredibly long American Journalism Review piece – that it’s the Associated Press’ fault for selling content to portals.

I’m going to suggest that you compare his analysis to that of Joey Baker, who writes a heavy metal rendition of Clay Shirky’s already-legendary essay on the economics of news.

Inherent in what Farhi writes is every old assumption about the economics of media, unchallenged by others and by the reality of a new reality. The notion is that portals were empowered by having the AP’s news and that this made it into a commodity (not the AP’s homogenization of the news, not the fact that knowledge, once known, is a commodity). But as the AP’s execs and defenders say in the piece, if the AP had not been there, Reuters would have been. Indeed, Reuters was. A

nd today, Reuters has shifted to a reverse-syndication model in which it gives headlines to portals for links back, which Reuters then monetizes (sharing revenue back for the value of the links). The AP, handcuffed by its paper-owners, can’t do that. The papers should be following Reuters’ example by giving the headlines in exchange for links, which they then monetize.

The AP is, indeed, hurting papers, but not the way Farhi thinks. It’s hurting them by cutting off links to the original reporting. That is how the link economy works. (Oh, and by the way, the big bad portals are themselves crumbling. One wonders which will die first: the papers or their supposed killers.)

The fallacy in Farhi’s argument is this: “When you give away the news, it becomes a commodity. When something becomes a commodity, you lose your pricing power. And that’s where we are today on the Web.”

Now see Joey Baker shooting that through such arguments – aka “the kool-aid of the bass-akwards mind fuck that the ‘old media’ folks try to sell you” – like a machine gun:

“Our economy is based on the trade of IP, and yet, paradoxically, the internet has made information practically infinite. Therefore, attempting to make money by controlling the amount of information is doomed to fail. Put another way: controlling the scarcity of something that isn’t scarce can’t work.”

There are more bullets in his gun:

History is not a good guide here: The internet is a fundamental shift from anything we’ve experienced before. It’s as revolutionary as the printing press and as radical as the written word. It’s both asynchronous and instant two-way communication.

There are however, fundamental laws. We just don’t know them all yet. The idea that you can delay, or should delay the transition to an internet based economy is just stupid. We’re here. Welcome to the future.

We depend on competition in our economy (fundamental law), which means that the first person to figure this out is going to make a boat load of money. Delaying, will guarantee you’re not that person.

There are two camps out there: folks … who think that there is some way that we can charge users for content just because we’ve always done it (we haven’t). And folks like me, who are convinced that the internet is such a fundamental shift to the economy and information management, that charging for basic content is just asinine.

The first of these commentators writes about media for The Washington Post. The second is a student. The first lives in the old world and understands its rules. The second lives in the new world and understands its rules. Who are you going to listen to about the future? It seems obvious to me.

Circling the wagons

Friday, February 20th, 2009

Jon Fine reports in Business Week that the Associated Press is contemplating charging for content, quoting AP head Tom Curley saying, “Everybody knows [the business] has got to shift to some sort of user payment model.” Everybody? Not quite. I’ll put up my column playing wack-a-mole with this meme later.

The birth of networks

Friday, November 14th, 2008

Out of the dire need to cut back, news organizations are at last looking out and forming networks. Newspapers in Ft. Worth and Dallas are going to share news. Newspapers in Ohio have been doing that. Now TV stations in Philadelphia are setting up a separate company to make video.

It’s a start on a model that I think will be important in the regeneration of the news industry. And it’s a short step from sharing with fellow news organizations to sharing with independent agents in the public (starting with your own former employees who set up blogs and then working with blogfers).

Sharing will replace syndication, I think. That’s why I’m not confident in the success of CNN’s effort to set up a new wire service to compete with the AP, Reuters, and AFP. It might work for international coverage because it’s hard to share content with a source in another language and there’s a vastly different base of shared knowledge. But domestically and locally, I think that sharing and reverse syndication (a la Political) will win the day.

Piece by piece, new models emerge.

AP bomb

Friday, October 17th, 2008

So now Tribune Company has given the AP notice – two years’ – to cancel, joining the Minneapolis Star Tribune, Bakersfield Californian, Idaho Falls Post Register of Idaho Falls, and Yakima Herald-Republic and Wenatchee World. These are more than shots across AP’s bow. They are shots at the AP, which has to reinvent itself. More on that later.

  • Archives