[LINK] Murdoch papers to charge for websites by 2010

[Bernard Robertson-Dunn]

Murdoch papers to charge for websites by 2010
By Stephen Foley in New York
Thursday, 6 August 2009
The Independent
http://www.independent.co.uk/news/media/online/murdoch-papers-to-charge-for-websites-by-2010-1767981.html

The days of being able to read newspapers for free on the internet are 
coming to a close, the media mogul Rupert Murdoch signaled, as he 
promised The Times and The Sun would begin charging for access to their 
websites within months.

In a sweeping rethink of how the beleaguered newspaper industry 
operates, the News Corporation founder declared that quality journalism 
must come at a price.

"We will be platform neutral, but never free," Mr Murdoch told 
investors, moments after revealing that plunging revenues from his 
newspapers had helped push the company into the red. With newspaper 
advertising collapsing, "the drumbeat for change" is only growing 
louder, he said. "Quality journalism is not cheap, and an industry that 
gives away its content is simply cannibalising its ability to produce 
good journalism."

The plan to charge for online news is being hatched by a team of Mr 
Murdoch's senior lieutenants, including his son James, and Rebekah Wade, 
the editor of The Sun who is moving up to become head of News 
International, the newspaper division that controls the company's four 
British titles.

And it could also mean the start of charges to access Sky News on the 
internet, Rupert Murdoch signaled last night. The same online strategy 
will be adopted at News Corp's US businesses, which include the Fox News 
cable channel and The New York Post newspaper.

Only one Murdoch newspaper currently charges for access to its website: 
The Wall Street Journal, which he bought two years ago. At the time of 
the acquisition, the mogul planned to scrap the charges, but changed his 
mind on realising that he would not recoup the lost revenue by charging 
more for adverts.

Executives are still to decide how much the UK's online newspaper 
readers will be billed and for what sorts of content, but Mr Murdoch 
said he was not scared about losing readers if he is the first to start 
charging. "If we are successful, we will be followed by all," he 
predicted. Fees will be introduced by the end of News Corp's financial 
year, which runs until next June.

Advertising at Mr Murdoch's four UK titles fell 18 per cent in the three 
months to the end of June, News Corp revealed last night. While the rest 
of the sprawling media company, which also owns TV networks in the US 
and satellite television in Europe and Asia, has seen a rebound in 
advertising income in July, Mr Murdoch said, there has been no such 
rebound in newspaper ads. The 78-year-old businessman declared again 
that he would emerge stronger from the current recession, particularly 
if it puts rival newspapers out of business. Amidst rumours in the UK 
that loss-making Guardian Media Group has hatched a plan to scrap its 
Sunday paper The Observer, Mr Murdoch was asked if he might consider 
buying it. "Hell no," he replied. "Why?"

-- 
 
Regards
brd

Bernard Robertson-Dunn
Canberra Australia
brd at iimetro.com.au