The Internet has caused the Newspaper business model to become insolvent!
For countless citizen journalists, the Internet has lowered the cost barrier to entering “news media” business segment to nearly nothing. Many have become popular commentators in the virtual world of the Internet and other have already passed on leaving behind legacies like Breitbart.com.
The Internet brought new competition from new sources, from related industries ‘cross-over’ into the new distribution market, and a dramatic increase of bona-fide advertising space in the advertising universe. The test for 2014: As we witness newspapers trying to do video, TV stations trying to write stories, and public radio aspiring to be text/audio/video producers, who will get it right first? Don’t expect the definitive “right” within a year, but 2014 is a pivotal year to get legs up on the competition. The newsonomics of how the news industry will be tested in 2014
Price Waterhouse forecast:
TV will remain the dominant advertising market in the US through 2018, when it is projected to reach $83.6 billion in revenues. But internet advertising revenues are growing quickly and will begin to challenge TV’s supremacy, rising by more than 50% between 2013 ($42.8 billion) and 2018 ($65.9 billion). By 2018, the newspaper ad market ($16.6 billion) will have shrunk to the point where it will be smaller than the radio and consumer magazine publishing advertising markets, per the PwC forecast. [http://www.marketingcharts.com/wp/online/us-advertising-market-sizes-by-medium-2018-v-2013-43194/]