amilanez

Will 2009 Continue the Upheaval for Print Media?

The problem, as Murdoch rightly points out, seems to be that media companies really haven't learned how to deal with the proliferation of free content and will continue to see erosions in the reach of their brands while they sit back. Blogs, podcasts, etc. offer a format that appeals to end consumers not only because it's generally free, but also because it is more targeted and dynamic. Why rely on a generalist newspaper anymore when industry sources create free content on a constantly updated basis? What's worse, cutbacks in ad spending in general will force media companies to cut on staffing in the near-term, which will only intensify the competitive pressures they face by reducing the quality of their content. My guess - don't look for an improvement in 2009 - many of these companies will be too distracted dealing with over-levered balances sheets to meaningfully invest in a transformation of the industry.