Dow Jones Pours Cold Water On Murdoch's Free Journal Plans

from the he-said,-he-said dept

For months, we've been reporting on rumors that Rupert Murdoch is thinking about dropping the Wall Street Journal's paywall in the hopes of dramatically expanding the paper's readership. This week we've had the first direct confirmation of Murdoch's plans when he predicted at a shareholder meeting that dropping the Journal's paywall would expand the paper's online readership from a million readers to 10 or 15 million. But Dow Jones executive Michael Rooney rushed to pour cold water on Murdoch's comments, insisting that they would need to wait until after the sale closed before any decisions were made. He said he wanted to figure out how much revenue Dow Jones would lose before deciding whether to drop the paywall. Frankly, I think it's a good thing Murdoch will soon be in charge of the paper. Short-term revenues are far less important than the paper's long-term influence and visibility. Murdoch understands that continuing the paywall would virtually guarantee continued readership stagnation by keeping the Journal out of the online conversation. That would leave a huge opening for one of the Journal's competitors to establish itself as the leading online business news outlet. That's a far bigger threat to the paper's financial health than a short-term loss of subscription revenue. Murdoch has a long history of being willing to take temporary financial hits to build up successful and ultimately profitable media properties, and that shrewd business sense looks set to continue with his acquisition of Dow Jones.

Filed Under: paywall, rupert murdoch, wall street journal
Companies: dow jones, news corp

Murdoch Seems Poised To Drop WSJ's Paywall As Well

from the better-for-long-term-business dept

With the New York Times finally realizing (two years too late) that paywalls don't make sense for online newspapers, the one major remaining holdout is still the Wall Street Journal. So, it should come as little surprise that reporters wasted no time in tracking down new owner Rupert Murdoch to see if he stood by earlier comments suggesting that he'd make the Wall Street Journal free online. It certainly sounds like he's still leaning in that direction, saying that he doesn't see how making it free would hurt the paper, and that, if done right, it could help make the paper a lot more money. Indeed, though, we're still waiting for an explanation for why it's taken the pre-eminent business newspaper in the world this long to understand the larger picture.

Filed Under: media, murdoch, newspapers, paywall
Companies: dow jones, wall street journal

Does Sale Of Dow Jones Mean The End Of The Paywall?

from the freedom dept

With News Corp.'s purchase of Dow Jones now all but certain, there's a lot of discussion about whether Rupert Murdoch will pull a Mikhail Gorbachev and tear down that (pay)wall at the Wall Street Journal. Yesterday we argued that if the Financial Times wants to raise its profile in the US, it should do just that, as a way of differentiating itself from the Journal. At this point, there's no way of knowing whether Murdoch will make the move first and preempt Pearson (parent company of the Financial Times). You have to figure that he has other things on his mind right now than how best to monetize the Wall Street Journal online. But, seeing as part of the deal's rationale is to bolster the credibility of Fox's forthcoming business channel, it makes sense to make the Journal's content more widely available. Another possibility, put forward by the founder of MarketWatch (also a Dow Jones property), is to tie MarketWatch in with Fox, leaving the Journal as it is, a premium offering for non-retail investors. But, realistically, the MarketWatch brand doesn't carry near the value that the Journal does -- if Murdoch is really intent on bolstering its business channel, it has to do it by leveraging the Journal.

Filed Under: media
Companies: dow jones, news corp, pearson

Pearson Mulls Possibilities To Exploit News Corp./Dow Jones

from the the-next-move dept

By all accounts, News Corp.'s bid for Dow Jones is coming down to the wire, although the latest indication is that the deal is likely to go through. If the deal does happen, one of the big winners could be Pearson, the publisher of the Financial Times, which has been making an aggressive push to expand its global presence and present itself as an alternative to the Wall Street Journal. Already, the company has indicated that it would like to partner up with another major media organization in order to promote its brand. One possibility would be to partner up with CNBC if News Corp. decides to sever Dow Jones' relationship with the business news network. In addition to striking such a partnership, Pearson should be looking to open up its content as a way of differentiating the Financial Times from the Wall Street Journal. At the moment, the sites of both papers are largely locked down, with most content available to subscribers only. Were the Financial Times to take down this wall, opening up its best content to the public, it wouldn't be hard to imagine the paper usurping some of the Journal's influence.

Filed Under: media
Companies: dow jones, news corp, pearson

News Corp. Looks Set To Lock Down Dow Jones

from the just-about dept

After months of negotiations, News Corp.'s bid for Dow Jones looks like it's close to completion. A tentative agreement still needs to be ratified by the full board, but barring any last minute surprises, it seems as though the original offer of $5 billion will stand. The timing is great for News Corp., as it recently set a date for the launch of its business channel, and it will undoubtedly use the Dow Jones brand to bolster the channel's credibility, helping it take on the industry leader, CNBC. It's safe to assume that there are various measures in place designed to prevent Rupert Murdoch from radically changing the Wall Street Journal, Dow Jones' crown jewel, but ultimately, once the Bancroft family hands over the keys, all bets are off.

Filed Under: media
Companies: dow jones, news corp