Rupert Murdoch & the News Ltd Pay Wall

Group members

BACKGROUND Who is Rupert Murdoch? What is Pay Wall?

DEFINITION: A website that restricts access to certain content only to paid subscribers.

THE DEBATE TIME picture from:

OUTLINE The background information The debate of Murdoch’s decision The long-term impact of his decision Conclusion

SUPPORTERS PERSPECTIVE Readers should pay for access to stories Pay-per-view mode Benefits - readers, - shareholders, - newspaper industry

OPPONENT PERSPECTIVE Readers should not pay for access to stories Potential Risk: Losing $ Losing power Losing market

Rupert Murdoch & the News Ltd Pay Wall “…Readers must be forced to pay for access to stories…”

WEAK ENVIRONMENT Economic System Downturn -- newspaper industry (print and online) Digital Technology Attack -- the Internet Advertising revenue -- 26% decline in newspaper industry/ 30% decline in News Corp. A dead or dying medium st century of newspapers

Economic System Downturn Digital Technology Attack A pay-per-view mode “Quality journalism is not cheap and an industry that give away its content is simply cannibalizing its ability to produce good reporting… we intend to charge for all our news web sites… ” (Murdoch 2009)

PAY-PER-VIEW MODEL Rupert Murdoch’s new approach -- better and differentiated contents/ a terrific experience A business model -- significant revenues The Wall Street Journal -- strengthening the relationship with loyal readers

PAY-PER-VIEW MODEL The good impact: Readers Shareholders Newspaper Industry

What’s inside of the wall?

Rupert Murdoch and News Ltd PayWall Picture from:

POTENTIAL RISKS Charge — Losing click numbers—losing online advertisement— losing money Charge — Losing click numbers—losing readership—losing power (political/other) Charge —Losing click numbers—losing readership—losing market

Characteristics of nowadays audience Younger generation—information on computer screen So many media choices—lack brand loyalty Creating& sharing—passively consuming A business plan built on the verb “should”? Jeff Jarvis, 2010

“It’s all about business model” “There is no exist general business model to copy” Try to transpose old business model to new business reality can’t work We should find new ideas rather than force readers to pay Clay Shirky, 2011

THE KEY POINT IN THE DEBATE Quality journalism is attractive for readers picture from : 3%80%8B%E7%A7%91%E6%8A%80%E5%88%9B%E6%96%B0%E5%A5%96%E6%8F%AD%E6%99%93/ 3%80%8B%E7%A7%91%E6%8A%80%E5%88%9B%E6%96%B0%E5%A5%96%E6%8F%AD%E6%99%93/

What happens in 2011for The Times source: worked/ #axzz1Mx6ePG3fhttp:// worked/ #axzz1Mx6ePG3f

THE LONG-TERM IMPACT To change the publishing culture picture from:

CONCLUSION ‘This is not the end of journalism’ From Crabb, A 2010, ‘The end of Journalism as we know’

Thank you !