Rupert Murdoch sees a future in journalism. With newspaper circulation at post-war lows and major dailies shutting down in a number of cities, he may be one of the few optimists left. But first, Murdoch claims, the American government must change its obsolete and destructive regulatory policies that, he says, are preventing major news outlets from competing.
"Good journalism is an expensive commodity," Murdoch told an audience at a Federal Trade Commission workshop on the future of journalism today. "Critics say people won’t pay, but I say they will. But only if you give them something good." Murdoch has announced plans to institute paywalls for all online content offered by his giant news conglomerate, News Corp.
Though Murdoch is confident that paywalls would more than make up for revenue lost by shortfalls in advertising dollars, other newspapers' experiences with the system have failed to do so. The New York Times in 2005 began charging for many of its columns, but eliminated the paywall after revenues failed to outweigh advertising dollars. Still, there are a number of unexplored options for online news payment schemes, and Murdoch is no rookie in the news business.