Friday, August 21, 2009

News Corp. pushing to create an online news consortium

As newspapers across the country struggle with declining readership and advertising revenue, News Corp. executives have been meeting in recent weeks with publishers about forming a consortium that would charge for news distributed online and on portable devices -- and potentially stem the rising tide of red ink.

Chief Digital Officer Jonathan Miller has positioned News Corp. as a logical leader in the effort to start collecting fees from online readers because of its success with the Wall Street Journal Online, which boasts more than 1 million paying subscribers. He is believed to have met with major news publishers including New York Times Co., Washington Post Co., Hearst Corp. and Tribune Co., publisher of the Los Angeles Times.

"The reality is that unless a lot of people who produce news act in unison to start charging for content, then individually they will fail," said Alan D. Mutter, a former newspaper columnist and editor and consultant on new media ventures.

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