I’m at a Riptide forum at Harvard’s Shorenstein Center on the “digital disruption of the news.” The place is packed. Digital Riptide consists of 60 interviews. The panel discussion is with Tim Armstrong, AOL; Caroline Little, Newspaper Association of America; Arthur Sulzberger Jr., The New York Times. It’s moderated by Martin Nisenholtz.
NOTE: Live-blogging. Getting things wrong. Missing points. Omitting key information. Introducing artificial choppiness. Over-emphasizing small matters. Paraphrasing badly. Not running a spellpchecker. Mangling other people’s ideas and words. You are warned, people.
[I came in a few minutes late…]
Caroline Little: Audiences aren’t the problem. They’re growing. Revenue is the challenge.
Arthur Sulzberg: “We’re losing our first teeth and growing our new teeth. It’s painful. But what’s coming will be bigger” in reach and impact.
Q [Martin Nisenholtz]: Tim, you paid $315M for The Huffington Post. Jeff Bezos paid $250M for The Washington Post. Did Bezos get a better deal than you?
Tim Armstrong: No, Huffpo is worth more than people thought. It’s gone from 0 to 100M video views, for example. It’s got 100% digital DNA. I once owned a Boston newspaper, but saw Mosaic at MIT and knew I had to get out of that business. “I think I got a great deal with Huffpo and I think Jeff got a good deal on the WaPo, depending on what he does with it.”
Q: Caroline, you ran the WaPo digital division. Was it inevitable that they’d sell to Bezos or could they have done someting to change that future?
CL: It wasn’t inevitable. Now newspapers really have to understand their audiences. Taking it private will remove some pressure. The Grahams were trying to put the WaPo in the best possible place for the future, and that took courage.
Q: What is the nature of authority in a world where there are tens of thousands of verticalized publications on every conceivable topic?
AS: Authority is still about accuracy, breadth, calling out your own mistakes, and having experienced people on the ground, not parachuting them in. Few news organizations have bureaus around the world or even the country. The joy of the digital era is the speed and the reach, and the ability to take in points of view very quickly and bring them into a story line. It’s a remarkable opportunity. The downside is clear. Suddenly everyone is looking at the photo of the Boston bomber. Everyone knows it’s him. But it’s not. That kind of accuracy is critical. [I think AS thinks his characterization of authority bolsters the newspaper’s case, but I don’t think it does. I trust the specialized bloggers/sites on particular topics more than I trust the newspaper. E.g., I get far more in depth and more authoritative coverage of telecom policy from blogs and mailing lists than I do from the NYT. As for Reddit’s misidentification of the Boston bomber: Yes, it was a dreadful mistake. But it was done transparently in public and was immediately corrected. <cough>Judith Miller</cough>.]
Q: Tim, you were interviewed and spoke enthusiastically about Patch. Since then you’ve downsized it. What’s so hard about local journalism?
Tim: We rolled it out to 900 of the best GDP [I think] communities in the US. It was about the authoritative nature of local journalism. Patch’s expansion was rapid. This summer we realized there are 500 Patches that work, and 400 with traffic but we’re not part of that business model. Patch will continue to go one post-partnerships because there’s such an acute need for local info. We’ll probably do partnerships. AOL will own some, and traditional media companies will own some.
Caroline: 85% of all media coverage of stories starts with newspapers.
Q: There’s never been a large, truly international paper. What’s the model for going global with a US news brand?
AS: The International Herald Tribune is owned by the NYT. We’re re-branding it in October as the International NYT. This is just a step. We’re fixing things; e.g., we didn’t used to let you subscribe using Euro currency. But: I met with aa Chinese general. She began by talking in an angry way. We had just begun to charge for Web access, and every morning she’d go to the NYT site but it wouldn’t accept her credit card. We fixed it, but the point is that a Chinese general was going to the NYT site the first thing in the morning. What an opportunity!
Q: Young people don’t seem to be willing to pay for media on the Web. As they mature, will they be willing to pay to for a digital subscription to the NYT?
AS: More and more young people, and all people, are willing to pay for an experience they value on the Web. Thank you, Steve Jobs! But it’s not as if 14 yr olds were ever buying newspapers.
Q: Tim, you create some content, and you do deals to provide access to your audience. How do you decide what you’ll cover and what others will?
TA: Our theory is that people care about a limited amount of things. As they get older, they spend more time with things that matter. We want to be the most human-based company in terms of what people care about. E.g., we’re running TechCrunch Disrupt now. 3,000 people. Just about all the major figures in the tech space. This is an influencer space that we have a major major major amount of mindshare in. The second generation of our strategy is to build out massive content partnerships. And a giant B2B strategy; we service about 40K other publishers with video, ads and content-sharing. Our content theory: let’s invest in the most important areas of journalism and content, build B2B, and have relationships with people in the most important areas of their lives. HuffPo is an influencer. It’s a global info source. It’s a trusted brand. E.g., see our coverage of the selection of the new Pope.
Q: Will reporters inevitably have less time to research a story?
AS: The pace has certainly picked up. But we’re still engaged in long form journalism. E.g., Snowfall.
TA: 30-40% of the traffic is on mobiles. Mobile adds consumption, typically about 30%. This changes how news works: If you don’t have a brand like the NYT, you’ll mix low appeal with high appeal
CL: Newsrooms are smaller, but they’d send 15 people to cover the Olympics. Do you really need that? Many newspapers now are investing in longer-form reporting.
Q: What makes global journalism work? The size of the city?
CL: Trust and authenticity. People still trust newspapers.
Q: What do you look for in journalists’ skills?
AS: We didn’t focus fast enough on hiring engineers to build systems and tools.
Q: TV broadcasters are using time efficiently. E.g., Netflix released an entire series at once. How are you experimenting with how to bundle and release investigative reporting?
AS: We’re always experimenting. E.g., We printed Snowfall as a full section, but the experience on the Web was so immensely powerful because of the video, the sound, etc.
TA: We look at how you disrupt readers’ behavior. I always say you can’t beat ESPN Sports Center by being 5% better. You have to be 75% better. Also you need distribution partnerships; that disrupts when your content is released.
Q: [couldn’t hear]
TA: If you look at how people use phones and tablets, the fact is that the average TV is 22 mins of content and 8 mins of commercial. When you watch how people use content, you’ll see trusted brands and faster content. [I had trouble hearing this.] People want to be told what they want to see. The future will be very curated and disruptively time-based.
Q: How do you view social media? Does the capacity to share overcome the limitations of 140 characters?
CL: I think Twitter is like a caption to a photograph. If it’s engaging, you’ll go find more about it.
AS: Twitter is a powerful tool, both in and out.
TA: Twitter is best known for short content, but they’re going to be changing that.
CL: Twitter is great for sources.
AS: This isn’t new. People said you can’t trust what people would say over a telephone wire. Telegrams were thought by some to be the death of newspapers. Twitter is a tool that we’re all getting better and better at using.
Q: From Twitter: How do you choose your political angle?
TA: We have a news chooser that lets you customize the news. HuffPo started more with a political angle. Now there are lots of forums set up for people with different political views. But we [AOL? HuffPo?] have our own voice.
AS: The Net is bringing us back to the written word. Radio, TV, telephone all took us away from that. We’re learning that using any single method will fail.
Q: Tim, you said “not just everyone can be a journalist.” How about bloggers who steal content?
TA: Anyone can be a journalist if they want to be. But consumers are smart. They know who’s stealing information and who isn’t. What you see happening in the blogging community are people taking advantage of situations to be disruptive to gain audience. I would not undercut the ability of people building blogs on specific topics disrupting newspapers.
Q: 5B people may be coming on line in the next decades. How does that change the target audience for online journalism?
The possibilities of our growth and the value of the quality of the info we can provide are immense.
TA: As the developing world comes online, they’ll come online with higher bandwidth.